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Saturn Oil & Gas Inc. Announces Closing of Viking Acquisition and Non-Brokered Private Placement
Closed Viking Acquisition of approximately 4,000 boe/d resulting in current pro forma Company...
About this update from Saturn Oil & Gas Inc.
[{"type":"text","content":"Saturn Oil & Gas Inc. Announces Closing of Viking Acquisition and Non-Brokered Private PlacementClosed Viking Acquisition of approximately 4,000 boe/d resulting in current pro forma Company production of approximately 11,400 boe/dInitiated 140 well drilling program targeting average production by Q4 2023 between 13,950 to 14,550 boe/d, for implied growth in the range of 22% to 28% over current production levelsDirecting approximately 50% of future cash flow to rapid debt reduction with expected net debt decreased by 60% in next 18 monthsCalgary, Alberta--(Newsfile Corp. - July 6, 2022) - Saturn Oil & Gas Inc. (TSXV: SOIL) (FSE: SMKA) (\"Saturn\" or the \"Company\") is pleased to announce that further to its press releases of May 31, 2022 and June 8, 2022, it has successfully completed the previously announced acquisition of assets in the Viking area of West-central Saskatchewan (the \"Viking Acquisition\") for closing cash consideration of approximately $248 million (net of adjustments) and has completed a non-brokered private placement for gross proceeds of $400,326 (the \"Non-Brokered Private Placement\").\"With the closing of the Viking Acquisition, Saturn is firmly established as a sustainable developer of light oil in Canada,\" said John Jeffrey, CEO of Saturn. \"We now have a total inventory of over 500 (gross) booked drilling locations in addition to an extensive list of optimization candidates in our existing portfolio of wells and facilities allowing Saturn the internal capabilities to organically grow production while also aggressively reducing corporate debt levels.\"Viking Acquisition OverviewThe Viking Acquisition bolsters Saturn's existing Viking light oil asset in West-central Saskatchewan with synergistic assets that include approximately 4,000 boe/d (~98% light oil and liquids) of high cash flow netback production and over 140 net sections of land in the Viking fairway. With a 250% increase to Saturn's Viking drilling inventory, the Viking Acquisition further builds size and scale for Saturn's growing Saskatchewan operations, complementing the Company's core growth Oxbow asset in Southeast Saskatchewan. Closing of the Viking Acquisition positions Saturn with a scalable portfolio of free cash flow generating assets that support near and longer-term development, while diversifying the Company's production expo...