By OGJ editors
HOUSTON, Aug. 5 – Privately owned independent Resolute Natural Resources Co. plans to become a public company through a $582 million transaction with Hicks Acquisition Co., in which the resulting company will be Resolute Energy Corp.
Resolute’s principal assets are a tertiary oil project in southeast Utah and a conventional gas field in the Powder River basin of Wyoming. In addition to producing properties, Resolute owns exploratory acreage in the Big Horn basin of Wyoming and the Black Warrior basin of Alabama.
Resolute's assets are 91% oil with estimated proved reserves of 49.3 million boe. In the first quarter, Resolute produced an average 7,626 boe/d, net to Resolute, with about 85% of first-quarter revenue coming from crude oil sales.
Nicholas J. Sutton, Resolute chairman and chief executive officer, will become chief executive officer of the combined entity. He said the company plans to use carbon dioxide injection and waterfloods to boost oil production.
Resolute is based in Denver and Hicks Acquisition is based in Dallas. Resolute was formed in 2004 by the management team of HS Resources Inc., which was sold to Kerr-McGee Corp. in 2001. At that time, Resolute was backed financially by Natural Gas Partners, a Dallas venture capital firm.