Prairie Operating Announces Acquisition Of The Assets Of Nickel Road Operating LLC For A Total Consideration Of $94.5M, Consisting Of $83M In Cash And $11.5M In Deferred Cash Payments; Effective Date Of The Transaction Is February 1, 2024
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Prairie Operating Co. (NASDAQ: PROP) has agreed to acquire the assets of Nickel Road Operating LLC for $94.5M, with $83M in cash and $11.5M in deferred payments. The deal, effective February 1, 2024, is expected to be accretive to Prairie's financial metrics and adds 5,500 net acres and 62 PUD drilling locations in the DJ Basin. The assets produce 3,370 net Boepd and add 22.2 MMboe in proven reserves. The acquisition aligns with Prairie's strategy for value creation and long-term, debt-free growth.
January 11, 2024 | 11:15 pm
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Prairie Operating Co. is acquiring Nickel Road Operating LLC's assets, which is expected to enhance key financial metrics and expand its core operating area. The deal adds significant production and reserves, with the potential to increase shareholder value.
The acquisition is directly related to PROP and is expected to be accretive to the company's financials, suggesting a positive short-term impact on the stock price. The addition of high-quality assets and the potential for operational efficiencies are likely to be viewed favorably by investors.
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