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Oasis Petroleum Inc. has Completed its Strategic Acquisition of Assets in the Wouldiston Basin

Oasis Petroleum Inc. announced today that it has completed the previously announced strategic acquisition of Diamondback Energy’s Wouldiston Basin assets (“Seller”). The $511.3MM cash payment made to the Seller at closure is net of the $75MM deposit received in 2Q21 and represents typical purchase price modifications to the transaction, which was valued at roughly $745MM and had an effective date of April 1, 2021.

The committed sum would remain at $450MM. The borrowing base would be recalculated again on April 1, 2022. On September 30, 2021, Oasis had an estimated cash balance of $818.9MM; $0 drew on its credit facility and $400MM in unsecured notes. The purchase would have resulted in a pro forma cash adjustment of $307.6MM.

Oasis Petroleum Inc. has Completed its Strategic Acquisition of Assets in the Wouldiston Basin“With the completion of this asset purchase, we would be able to integrate and create considerable value from our Wouldiston Basin position, where we see long-term running space given our pro forma inventory depth,” said Danny Brown, Chief Executive Officer of Oasis. “Following’ withdrawal from the Permian Basin in June, the closure marks a smart portfolio repositioning in which we were able to purchase assets for PDP value and sell assets at a considerable premium to PDP value”.

Oasis‘ resources have been fundamentally aligned with our key competitive strengths and strategic goal of developing a sustainable company that delivers attractive returns and considerable free cash flow for the benefit of the Company and shareholders. Oasis maintains a commitment to raise its fixed dividend by more than 33% in November to $0.50 per share, or $2.00 per share on an annual basis “in 2021.”

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