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Delaware Basin producer closes $65M acreage buy in New Mexico

Lilis Energy Inc. closed its acquisition of additional acreage in the Delaware Basin in southeastern New Mexico for about $65 million, expanding its position in the resource play and coming closer to its goal of 20,000 net acres.

The completed purchase and sale agreement was for about 2,798 net acres in Lea County, N.M., with net production of 425 barrels of oil equivalent per day for the year ended Dec. 31, 2017. The total consideration consisted of $40 million in cash and $25.3 million in common shares, or 6.9 million common shares, according to a March 19 news release.

Lilis Energy's exploration and production operations are focused in the Permian Basin of West Texas and southeastern New Mexico.