Whiting will Acquire Kodiak Resources | Russell T. Rudy Energy LLC
According to a recent article in “Rigzone”, Whiting Petroleum Corp. will acquire Kodiak Oil & Gas Corp. The combined entity will be the largest producer in the Bakken Shale in North Dakota, a position previously held by Continental Resources, Inc.
Whiting is paying an estimated 5% premium to acquire Kodiak, but feels that the synergies of the combination more than justify the price. Whiting CEO, James Volker, indicated that the combined company will be able to grow faster than Whiting could on its own. The new entity will have greater access to capital which will in turn enable it to accelerate development of oil production. Together Whiting and Kodiak had production of 107,000 barrels of oil equivalent per day in the first quarter of 2014. They will now have 855,000 combined net acres and almost 3,500 drilling locations.
To read the article in its entirety, please go to www.rigzone.com/news/article.asp?hpf=1&a_id=134020&utm.
