Halcon buys interest in East Texas oil, gas assets for $378 million

Wed Jun 6, 2012 8:14am EDT

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(Reuters) - Halcon Resources Corp (HK.N) said it would buy an operated interest in oil and gas leases in East Texas in a deal valued at $377.8 million, as it looks to beef up its portfolio of oil and gas assets.

The company said it would pay $222 million in cash and issue about 16.5 million shares to buy the interest in the assets that cover 16,365 net acres in East Texas.

Net daily production from the assets was about 2,000 barrels of oil equivalent per day at the start of June. The deal is expected to close in the third quarter.

The company, formerly known as Ram Energy Resources, bought GeoResources Inc in a $973 million deal in April and purchased oil and gas leases for $194 million last month.

Chief Executive Floyd Wilson plans to build a portfolio of liquids-rich assets before putting Halcon on the block a few years later.

Halcon Resources shares closed at $9.44 on Tuesday on the New York Stock Exchange.

(Reporting by Swetha Gopinath in Bangalore; Editing by Viraj Nair)

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