SM Energy Company, advised by Kirkland & Ellis LLP, on Thursday unveiled plans to acquire the Uinta Basin oil and gas assets from private equity-backed XCL Resources LLC, led by Vinson & Elkins LLP, for an unadjusted purchase price of $2.55 billion. The Denver-headquartered company will then sell an undivided 20% of those assets to Kirkland-led Northern Oil and Gas for $510 million.
SM EnergyTo Acquire Uinta Basin Assets : Transaction Details
With SM Energy’s purchase and corresponding sale of the Uinta Basin assets, the deal represents a $2.04 billion purchase price net to SM Energy for an undivided 80% interest in the assets, according to a Thursday statement.
The assets purchased from XCL Resources, which is backed by EnCap Investments LP and Rice Investment Group, are located primarily in Uintah and Duchesne Counties in Utah. They include around 9,300 net acres and 97.6 underwritten net undeveloped locations, according to a separate Thursday statement from Northern Oil and Gas.
