DALLAS - Vega Upstream JVLLC has completed a $15 million acquisition of Toklan Oil and Gas Corp. and its affiliated companies, expanding its oil and gas holdings in western Oklahoma and the western Anadarko Basin. The acquisition includes 28 producing wells across approximately 7,000 net acres, along with interests in more than 250 additional wells. The operated and non-operated properties have recently produced approximately 500 barrels of oil equivalent per day.
The deal also includes West Thomas Field Services, which owns and operates the Deer Creek Gathering System and associated surface acreage. The transaction was structured as the purchase of all issued and outstanding stock of Oklahoma-based Rampart Holdings Inc., which owns Toklan Oil and Gas Corporation and related entities.
Vega Upstream is now evaluating approximately 58 operated and nonoperated drilling locations as it considers additional development in the region. Chief Operating Officer Christopher Czuppon said the company is targeting several formations, including the Cherokee Shale, Red Fork, Cottage Grove, Meramec and Woodford.
“This acquisition provides a strong operating platform for continued expansion in the Western Anadarko basin across western Oklahoma and the Texas Panhandle where we are actively evaluating and looking at additional acquisition and development drilling opportunities,” Czuppon said.