Encore Energy makes oil and gas deals in the US

Encore Energy has completed the acquisition of producing oil and natural gas assets in the Permian Basin of West Texas, US, for $14.8m from a private seller.

The assets have estimated total net proved reserves of 1.03 million barrels of oil equivalent, of which approximately 87% are oil and natural gas liquids (NGL), and has a current production rate of 115 barrels of oil equivalent per day.

Encore Energy also entered a definitive agreement to acquire non-operated working interests in producing oil and natural gas assets in Sweetwater County, Wyoming, for $28.5m.

These assets have estimated total proved reserves of 4.1 million barrels of oil equivalent, of which approximately 65% are natural gas and 35% are oil and NGL.

The firm has entered new oil and natural gas hedges, covering a substantial portion of the estimated production related to proved developed reserves from these acquisitions.