* Assets have estimated net production of 5,900 barrels/day
* Raises 2014 adj. EBIDTA forecast to $355-$375 mln vs
May 5 Memorial Production Partners LP
said it would buy oil producing properties in Wyoming for about
The properties, located in two fields in the Bairoil Complex
in Sweetwater and Carbon Counties of Wyoming, have an estimated
current net production of about 5,900 barrels per day, Memorial
Production said on Monday.
The deal covers about 6,800 gross acres with 140 producing
wells and 166 injection wells.
The company did not name the seller.
U.S. oil and gas explorers are focusing on acquiring oil
assets to offset the impact of weak natural gas prices.
"These assets complement our existing portfolio due to their
very shallow decline rate, low operating cost structure and low
maintenance capital requirements," Memorial Production Chief
Executive John Weinzierl said in a statement.
The company said it expected to produce 74-76 billion cubic
feet equivalent in 2014.
Memorial Production also raised its adjusted earnings before
interest, taxes, depreciation, and amortization (EBIDTA)
forecast for 2014 to $355 million-$375 million from $303
The company said it would fund the purchase through its $2
billion multi-year revolving credit facility. The deal is
expected to close in the third quarter of this year.
Citigroup Global Markets was Memorial Production's financial
adviser for the deal.
(Reporting by Sneha Banerjee in Bangalore; Editing by Kirti