By the OGJ Online Staff
HOUSTON, Oct. 4 -- Toreador Resources Corp. and Madison Oil Co. announced a merger Thursday that will create a $100 million company.
Toreador will be the surviving entity and will remain headquartered in Dallas.
The merged company will have reserves of more than 12.6 million bbl of oil and 15.94 bcf of gas. On a combined basis, production in the first 6 months averaged 4.7 bcf and 2,700 b/d of oil.
As of June 30, the combined company held interests in 4.8 million net undeveloped acres located in the US, France, Turkey, and Trinidad.
G. Thomas Graves III, Toreador president and CEO, said, "The merger balances Madison's high potential international exploration potential with Toreador's strong cash flow, domestic exploration program and substantial portfolio of domestic working interests."
Madison shareholders will receive 0.118 shares of Toreador common stock for each share of Madison. As a result, Madison shareholders will own 32% of the combined Company. Toreador
The merger is expected to close by yearend.