OKLAHOMA CITY, July 30, 2014 /PRNewswire/ -- RKI
Exploration & Production, LLC ("RKI", or the "Company")
announced today that it has entered into an Exchange Agreement with
Chesapeake Energy Corporation ("CHK"), for properties located in
the Powder River Basin of eastern Wyoming. Under the
agreement RKI will receive from CHK $450 million in cash plus
136,000 net acres, including ownership interests in 68 RKI operated
wells, in exchange for 204,000 net acres, including ownership
interests in 191 CHK operated wells. Closing is expected in
August 2014, subject to third party consent.
RKI Founder and Chief Executive Officer, Ronnie Irani,
commented, "This is a great transaction for both companies and
allows each of us to consolidate our operated positions within the
Powder River Basin. This basin is rapidly becoming one of the
premier emerging oil basins in North America and RKI is currently
the most active operator with four horizontal rigs running.
We will continue to be one of the largest acreage holders in the
basin with over 355,000 net acres."
RKI was founded in 2005 with a primary focus on the Powder River
Basin and the Permian Basin. The Company has a substantial
development program underway with 10 rigs currently operating
across 525,000 total net acres. RKI has close to doubled its
net production over the last 12 months to a current average rate in
excess of 24,000 Boe/d (over 70% oil and natural gas
liquids). The Company currently has interests in more than
1,700 wells, 700 of which are operated by RKI. RKI is one of
Oklahoma City's fastest growing employers with more than 145
employees currently.
RKI Exploration & Production, LLC is a leading private
exploration and production company headquartered in Oklahoma City,
OK, engaged in the acquisition, development and exploration of oil
and natural gas primarily in the Permian Basin in west Texas and
southeast New Mexico and the Powder River Basin in eastern
Wyoming.
Media Contact: contact@rkixp.com
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SOURCE RKI Exploration & Production, LLC