logo-loader

Sundance Energy Australia secures US$300M credit facility

Last updated: 17:00 02 Jan 2013 AEDT, First published: 16:00 02 Jan 2013 AEDT

no_picture_pai

Sundance Energy Australia (ASX: SEA) has secured a US$300 million credit facility from Wells Fargo and has acquired additional oil acreage in the Wattenberg Field, Colorado.

Half of the new five-year facility, which is based on the evaluation of its reserves as of 30 September 2012, will be used to retire the company’s outstanding loan with the Bank of Oklahoma.

The acquisition of new acreage for US$14,200 brings Sundance’s holdings in the Wattenberg up to 4,500 acres from 2,200 acres.

These currently produce about 25 barrels of oil equivalent per day and well located for Sundance operated development and production of proved reserves from multiple stacked pay zones including the Sussex, Shannon, Niobrara, Codell, Greenhorn, and J Sand formations.

Sundance added the new acreage has the potential to contribute to near-term increases in production, cash flow and reserves.

The new acreage has the potential to hold reserves of up to 9 million barrels of oil equivalent.

These are located in about 100 net vertical Proved Undeveloped locations with average working and net revenue interests in excess of 75%.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

Australian Strategic Materials signs US$600 million LoI

Rowena Smith, CEO and managing director of Australian Strategic Materials Ltd (ASX:ASM, OTC:ASMMF), joins Jonathan Jackson in the Proactive studio to discuss the company’ s Dubbo Project, in Central West New South Wales. This project aims to extract and process critical minerals and rare earth...

10 hours, 38 minutes ago