Jericho Oil Corporation announces that it has fully exercised its option to increase its ownership in its Oklahoma STACK Joint Venture to 31% for US$6 million.
In September 2017, Jericho and its private Joint Venture Partner (“JVP”) closed the acquisition of approximately 9,400 net surface acres in the oil window of the Anadarko Basin STACK play in Oklahoma. At that time, Jericho exercised $3 million of its option for an initial 11% ownership, with its JVP owning the remainder. For additional details about Jericho’s STACK acquisition, please see the Company’s STACK Presentation.
The Oklahoma STACK Play has become one of the top oil and gas plays in North America. Prominent operators in the STACK include Devon, Newfield, Marathon, Continental and Alta Mesa, with Jericho among the only publicly-traded Junior E&P companies to establish a meaningful presence in the play.
Additionally, the Company announces that it has sold a non-core asset in Osage County, Oklahoma and applied the proceeds to pay down $800,000 of its bank line under its joint Senior Secured Revolving Credit Facility. The Company’s borrowing base remains unchanged at $10 million.
About Jericho Oil Corporation
Jericho is a growth-oriented oil and gas company engaged in the acquisition, exploration, development and production of overlooked and undervalued oil properties in the Mid-Continent. For more information, please visit www.jerichooil.com
Director, Investor Relations
Director, Corporate Communications