Riley Exploration Permian Inc., Oklahoma City, has completed a deal to acquire Silverback Exploration II LLC, which owns oil and gas assets in Eddy County, NM.
The deal, agreed to in May, adds 5,000 boe/d (52% oil, 75% liquids) of total equivalent production and over 300 gross undeveloped locations directly adjacent and overlapping with Riley Permian’s existing New Mexico position in the Yeso Trend, for $142 million in cash.
Upon the deal’s announcement in May, Bobby D. Riley, chief executive officer and chairman, said that despite market volatility, the company justified the acquisition “given our long-term outlook for our industry and our company.” He said the deal “adds significant, long-term upstream development potential and supports our prior decision to invest in gas midstream infrastructure in the region.”
Riley Permian's acreage lies primarily on contiguous blocks on the Northwest Shelf of the Permian basin in Yoakum County, Tex., and in Eddy County, NM.
As of Dec. 31, 2024, and prior to the Silverback acquisition, the company held 58,270 net acres and a total of 612 net producing wells. The company's average net daily production during the year ended Dec. 31, 2024, was about 22,546 boe/d.
