SandRidge Energy Inc. of Oklahoma City agreed to acquire the assets of EE3 LLC for $190 million in a deal that will provide SandRidge with what it calls a derisked Niobrara shale position in the North Park basin of Jackson County, Colo.
The Niobrara shale is characterized by numerous stacked pay zones, proved production history, long reserves, and repeatable drilling results. SandRidge is buying assets in rural north-central Colorado that it believes will prove ideal for pad drilling and efficient infrastructure installation.
SandRidge Pres. and Chief Executive Officer James Bennett said the assets being acquired involve more than 1,300 high-return drilling locations. He expected the transaction to close during the fourth quarter.
"Expanding into a proven high-quality repeatable oil play leverages our core competencies in medium depth horizontal drilling, unconventional development, infrastructure, and cost reduction," Bennett said. SandRidge planned to spud its first well there in January 2016.
