Vanguard Natural Resources closes oil and gas deal

AP News
|
Posted: Dec 04, 2009 6:14 PM

Oil and natural gas company Vanguard Natural Resources LLC on Friday said it has closed its $55 million purchase of oil and gas assets in the Permian Basin in Texas from private sellers.

The company said the deal closed on Wednesday, two days after it was announced. Vanguard will operate the majority of the producing wells located on the property. Vanguard said it paid cash borrowed from a reserve-based credit facility.

It said the new properties have total estimated proved reserves of 3.2 million barrels of oil equivalent as of Oct. 1, of which 83 percent is oil and 65 percent is proven developed. The company plans to operate all but one of the wells.

Vanguard Natural Resources shares fell 27 cents to close at $18.05 on Friday.