Gastar adding production

[dan_s]

HOUSTON, Sept. 5, 2013 /PRNewswire/ -- Gastar Exploration Ltd. (NYSE MKT: GST) today announced that it has signed a purchase and sale agreement to acquire a 98.3% working interest (80.5% net revenue interest) in 24,500 acres of the West Edmund Hunton Lime Unit ("WEHLU") located in Kingfisher, Logan, Oklahoma and Canadian counties, Oklahoma. All of the acreage in the unit is held by production ("HBP") and located nearly adjacent to a portion of the Hunton Limestone assets that Gastar acquired earlier this year from Chesapeake Energy (see attached map). The transaction purchase price is $187.5 million, subject to customary closing adjustments, with an expected closing date of November 26, 2013 and a purchase effective date of August 1, 2013.

- Will add approximately 2,000 net BOE per day and 24,500 HBP net acres to Gastar's existing 96,300 net acres in the Hunton Limestone play
- Transaction expected to be accretive to future earnings, cash flow and EBITDA

[wilmawatts]

Company is on our screens.

There is a famous oil and gas conservation case dealing with the West Edmond Hunton Lime Unit, deals with gas oil ratios and mandatory production caps to maintain drive. Interesting stuff

This company looks like it is worth a look.