Silver Hill Energy Partners LP has signed definitive agreements to acquire certain Bakken assets from Liberty Resources II LLC, Denver.
Silver Hill will acquire interests in oil and gas properties, rights, and related assets in North Dakota and 100% of Liberty Midstream Solutions LLC, a midstream oil and gas company with gas gathering, gas processing, and produced water logistics assets in North Dakota.
The assets include 84,000 net acres in the Williston Basin Bakken and Three Forks play in Mountrail, Burke, Williams, and Divide Counties, North Dakota (about 80% held by production) with over 300 gross operated drilling locations.
December net production is about 13,000 boe/d (76% oil, 86% liquids) with PDP reserves of about 16 MMboe. Liberty currently has one rig running in Mountrail County with 12 additional wells expected to be completed in this year’s first quarter.
The integrated midstream system includes about 33 miles of gas gathering lines, 22 miles of water gathering lines, a 30 MMcfd gas processing plant, five saltwater disposal wells with roughly 60,000 b/d of disposal capacity, 99,000 dedicated acres, and expansion capacity.
The acquisition is expected to close Mar. 14, 2024.