Samson Oil & Gas Ltd., Perth, has executed a nonbinding letter of intent to sell its Foreman Butte project, consisting of substantially all of its assets, to Firehawk Oil & Gas LLC, Denver, for $41.5 million.
Samson holds an 87% average operated working interest in the project, which is in McKenzie and Williams counties, ND; Richland, Roosevelt, and Sheridan counties, Mont.; and the Mississippian Madison formation in the Williston basin.
Firehawk, a private equity funded exploration and production company, has conducted technical and financial analysis of the project and continues due diligence work on the properties. The deal, subject to Samson shareholder approval, is expected to close by Mar. 1.