Oasis Petroleum to acquire acreage in Williston basin, US

US-based exploration and production company Oasis Petroleum has entered into purchase and sale agreements to acquire around 161,000 net acres in the Williston basin for approximately $1.5bn.

Of the 161,000 net acres, around 136,000 are in the company’s Williston project area in North Dakota, which were purchased for approximately $1,450m. Around 91,000 have no depth limitations.

The company also executed three purchase and sale agreements to acquire around 25,000 net acres in East Nesson for approximately $65m.

It holds around 492,000 net acres with approximate production of 43,000 barrels of oil equivalent (Boe) per day, based on a combined pro forma basis.

Oasis Petroleum chairman and CEO Thomas B Nusz said that the acquisitions are expected to add high-quality acreage in the heart of the Bakken and Three Forks play, which will provide an incremental scale to the company in the Williston Basin.

"We are currently operating 11 rigs and the sellers are operating two rigs, which we believe keeps acquisition production levels relatively flat through the end of 2013," Nusz added.

"We expect to accelerate development across our overall combined position next year, increasing to 15 to 16 operated rigs by the end of 2014."

Oasis Petroleum primarily develops unconventional oil and natural gas resources in the Williston Basin.