EVEP acquired a 46.15% interest in these assets for an adjusted purchase price of $137.9m, subject to customary post-closing adjustments. Estimated proved reserves as of January 1, 2010, net to EVEP, (based on recent strip prices) are approximately 69.6bcfe.
The purchase price and estimated proved reserves were reduced from those contained in EVEP’s February 2010, acquisition announcement primarily due to third party consents on certain properties not yet received as of the initial closing date. The property interests related to such outstanding consents will be acquired if and when such consents are received, the company said.
The acquisition was funded with borrowings under EVEP’s existing credit facility. Following closing, EVEP’s outstanding debt is $345m. EVEP is engaged in acquiring, producing and developing oil and natural gas properties.
