By OGJ editors
HOUSTON, Nov. 18 -- Patina Oil & Gas Corp. said it will acquire privately held Bravo Natural Resources Inc. of Tulsa for $119 million. The transaction marks Patina's second significant acquisition in the last 30 days. Earlier this month, the Denver-based independent closed on its $62 million purchase of Le Norman Energy Corp., Oklahoma City, which was announced in October (OGJ Online, Oct. 24, 2002).
"The acquired properties not only provide us a substantial geographic diversification, they should generate numerous opportunities to profitably redeploy our substantial free cash flow through additional acquisitions and drilling," said Patina Chairman Thomas J. Edelman.
Bravo's assets are mainly in Hemphill County, Tex., and in Custer and Caddo counties in western Oklahoma. Bravo holds 133 bcfe of proved reserves, 90% of which is natural gas. The company's current net production is 14 MMcfd of gas and 170 b/d of oil.
Bravo holds interests in 272 producing wells, of which it operates 119 wells. The company's reserves are concentrated in two fields: Buffalo Wallow in the Texas Panhandle and Eakly-Weatherford in Oklahoma.
Bravo' properties are "generally comprised of tight sand natural gas formations," Patina said.