(Reuters) - Oil and gas producer Oasis Petroleum Inc (OAS.N) said it would buy more acreage in the Delaware Basin from privately-held Forge Energy LLC for about $946 million in cash and stock, boosting its presence in the top U.S. oil field.
The company also said that it was divesting non-core assets in Williston Basin for up to $500 million in 2018.
The deal to buy 20,300 acres, which produced about 3,500 barrels of oil equivalent per day (BOEPD) in November, will help more than double Oasis’s core net inventory, the company said in a statement.
Oasis said it expected to drill 16 to 20 wells in the new acreage and complete six to eight wells with a capital program of about $100 million in 2018.
It also raised its 2017 production forecast to a range of 71,000 to 73,000 BOEPD from a range of 69,000 to 72,000 BOEPD estimated previously.
Reporting by Ahmed Farhatha in Bengaluru; Editing by Anil D'Silva