HOUSTON, Texas, Oct. 02, 2024 (GLOBE NEWSWIRE) — Prairie Operating Co. (Nasdaq: PROP) today announced the closing of its previously announced $84.5 million acquisition of the oil-weighted assets of Nickel Road Operating, LLC, a portfolio company of Vortus Investment Advisors, LLC. The NRO acquisition was funded with the proceeds from a private placement of Common Stock, an Equity Facility, and cash on hand.
Located in Weld County, Colorado, the newly acquired assets will add 5,592 net leasehold acres, 89 approved well permits, and 26 operated horizontal wells providing accretive cashflow to Prairie’s existing DJ Basin operations.
“This transaction is a major step forward in our growth strategy and an example of delivering long-term value for our shareholders,” stated Edward Kovalik, Chairman and CEO of the Company. “With our Shelduck South development now drilling well four of the eight-well pad, we expect the production from both these assets, combined with our permitted Genesis locations, to provide a significant cashflow engine for growth through 2025 and beyond.”
As previously stated, the Company remains committed to aggressively expanding production and well inventory, through both organic drilling and accretive strategic acquisitions. Prairie plans to integrate the newly acquired assets into its existing operations and focus on developing its extensive inventory of drilling locations across its DJ Basin acreage position.
ADVISORS
Piper Sandler and Clear Street LLC acted as Co-lead placement agents with Pickering Energy Partners and Johnson Rice & Company LLC. acting as placement agents. Vinson & Elkins LLP is serving as legal counsel to the Company.
About Prairie Operating Co.
Prairie Operating Co. is a Houston-based publicly traded independent energy company engaged in the development and acquisition of oil and natural gas resources in the United States. The Company’s assets and operations are concentrated in the oil and liquids-rich regions of the Denver-Julesburg (DJ) Basin, with a primary focus on the Niobrara and Codell formations. The Company is committed to the responsible development of its oil and natural gas resources and is focused on maximizing returns through consistent growth, capital discipline, and sustainable cash flow generation.
More information about the Company can be found at www.prairieopco.com.
