TORONTO, Canada, March 29, 2013 /CNW/ - Aurora Oil & Gas Limited
(ASX:AUT, TSX:AEF) ("Aurora") is pleased to advise that it has
completed its previously announced acquisition of a 100% working
interest in approximately 2,700 acres in the Eagle Ford shale,
including 11 producing wells and associated interests in field
infrastructure and related assets for approximately US$117.5 million in
cash. The acquired assets are located in two consolidated blocks either
adjacent or very approximate to Aurora's other Sugarkane Field
interests, in the liquids-rich area of the Eagle Ford shale trend in
South Texas.
The acquisition increases Aurora's net acreage in the Eagle Ford by over 14% to approximately 21,800 net acres and significantly adds to
Aurora's future net well inventory. Aurora has assumed operations on
the acquired acreage and expects to commence drilling there in the
second half of 2013.
Aurora Executive Chairman Jon Stewart commented: "This acquisition,
being our third in the past 12 months, highlights Aurora's ability to
add to its considerable organic growth at the Sugarkane Field through
value driven high quality Eagle Ford transactions. Strategically, this
operated position offers additional flexibility in capital allocation
and production growth. The recently completed US$300 million unsecured
fixed coupon debt issuance and an undrawn US$200 million secured
revolver facility means we are very well funded for both our operated
and non-operated drilling programs."
Aurora CEO Douglas E. Brooks added: "Acquiring these assets provides
Aurora greater flexibility in the overall development of its asset
portfolio. It adds materially to current production but more over
includes growth opportunities in reserves through higher density well
drilling. Aurora has recruited Houston based staff experienced in
operations who will execute our plans and of course have the benefit of
the significant knowledge acquired in all related phases of development
from our participation in more than 250 wells to date in the Sugarkane
field."
About Aurora
Aurora is an Australian and Toronto listed oil and gas company active
exclusively in the over pressured liquids-rich region of the Eagle Ford
Shale in Texas, United States. The Company is engaged in the
development and production of oil, condensate and natural gas in
Karnes, Live Oak and Atascosa counties in South Texas. Aurora now
participates in approximately 79,700 highly contiguous gross acres in
the heart of the trend, including over 21,800 net acres within the
liquids rich zones of the Eagle Ford.
Cautionary and Forward Looking Statements
Statements in this press release reflect management's expectations
relating to, among other things, target dates, Aurora's expected
drilling program, the benefits of its proposed acquisitions and the
ability to fund its development program are forward-looking statements,
and can generally be identified by words such as "will", "expects",
"intends", "believes", "estimates", "anticipates" or similar
expressions. In addition, any statements that refer to expectations,
projections or other characterizations of future events or
circumstances are forward-looking statements. These statements are not
historical facts but instead represent management's expectations,
estimates and projections regarding future events.
Although management believes the expectations reflected in such
forward-looking statements are reasonable, forward-looking statements
are based on the opinions, assumptions and estimates of management at
the date the statements are made, and are subject to a variety of risks
and uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the
forward-looking statements. In addition, if any of the assumptions or
estimates made by management prove to be incorrect, actual results and
developments are likely to differ, and may differ materially, from
those expressed or implied by the forward-looking statements contained
in this document. Such assumptions include, but are not limited to,
general economic, market and business conditions and corporate
strategy. Accordingly, investors are cautioned not to place undue
reliance on such statements.
All of the forward-looking information in this press release is
expressly qualified by these cautionary statements. Forward-looking
information contained herein is made as of the date of this document
and Aurora disclaims any obligation to update any forward-looking
information, whether as a result of new information, future events or
results or otherwise, except as required by law.
References herein to "Sugarkane" or the "Sugarkane field" are references
to the Sugarkane natural gas and condensate field within the Eagle Ford
and includes the two contiguous fields designated by the Texas Railroad
Commission as the Sugarkane and Eagleville Fields.
Aurora presents petroleum and natural gas production and reserve volumes
in barrel of oil equivalent ("boe") amounts. For purposes of computing
such units, a conversion rate of 6,000 cubic feet of natural gas to one
barrel of oil equivalent (6:1) is used. The conversion ratio of 6:1 is
based on an energy equivalency conversion method which is primarily
applicable at the burner tip and does not represent value equivalence
at the wellhead. Readers are cautioned that boe figures may be
misleading, particularly if used in isolation.
SOURCE: Aurora Oil & Gas Limited
Douglas Brooks
Aurora Oil & Gas
Group CEO
+1 703 402 1920
Shaun Duffy
FTI Consulting
+61 8 9485 8888
+61 404 094 384
Jane Munday
FTI Consulting
+61 8 485 8888
+61 488 400 248
Aurora Oil & Gas Limited ABN 90 008 787 988
HEAD OFFICE
Level 20, 77 St. Georges Terrace, Perth, WA 6000, Australia
GPO Box 2530 Perth, WA 6001, Australia
t +61 8 9440 2626, f +61 8 9440 2699, e info@auroraoag.com.au
HOUSTON
Aurora USA Oil & Gas, Inc. a subsidiary of Aurora Oil & Gas Limited
1111 Louisiana, Suite 4550, Houston, TX 77002 USA
t +1 713 402 1920, f +1 713 357 9674
www.auroraoag.com.au