Mergers & Acquisitions ·
Evolution Petroleum Corporation entered into a Purchase and Sale Agreement to acquire mineral, royalty, and overriding…
EPMEvolution Petroleum Corp
Evolution Petroleum Corporation entered into a Purchase and Sale Agreement to acquire mineral, royalty, and overriding royalty interests in the Midland Basin of Texas for $16 million in cash. The transaction involves approximately 3,420 net royalty acres across Reagan, Upton, Glasscock, Midland, and Martin Counties, with an expected closing date of August 21, 2026, and an effective date of August 1, 2026. The acquisition is funded through a concurrent public offering of common stock, cash on hand, and borrowings under its revolving credit facility. Management expects the assets to generate approximately $3.9 million in next-twelve-month cash flow, representing a 4.1x multiple and enhancing dividend coverage without requiring drilling capital or lifting expenses. Evolution Petroleum Corporation is an independent energy company focused on maximizing shareholder returns through ownership of onshore oil and natural gas properties.