By OGJ editors
HOUSTON, July 22 -- Enerplus Resources Fund, Calgary, plans to acquire Lyco Energy Corp., a private oil producer operating in Montana and North Dakota, for $421 million, including assumed debt and working capital.
The transaction, subject to Lyco shareholders' and regulatory approval, is expected to close Aug. 30. The acquisition represents Enerplus's entry into US operations.
Lyco produces 7,000 b/d of light oil from the Mississippian Middle Bakken dolomite of the Sleeping Giant project area in Montana (OGJ, July 18, 2005, p. 35). Lyco's production is 92% light oil and 8% gas.
The acquisition includes infill drilling prospects and 120,000 net acres of undeveloped land, Enerplus said.