Independent exploration and production firm,
Oasis Petroleum Inc.
) reported the pricing of senior unsecured notes worth $1.0
billion, due to mature in 2022. The company added that the notes
are expected to carry an interest of 6.875% and will be offered
to small number of selected investors. Initially, the size of the
offering was declared at $600 million but was later increased by
another $400 million. The offering is likely to close on Sep 24,
OASIS PETROLEUM (OAS): Free Stock Analysis
RANGE RESOURCES (RRC): Free Stock Analysis
SM ENERGY CO (SM): Free Stock Analysis Report
WHITING PETROLM (WLL): Free Stock Analysis
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Oasis Petroleum reveals that the notes will like be priced at
100% of their face value. Moreover, the net proceeds from the
offering will be utilized to partly finance the company's
acquisition of West Williston-based oil and gas assets.
Recently on Sep 5 2013, Oasis Petroleum entered into four
purchase and sale deals to buy roughly 161,000 net acres of land
in the Williston Basin. The company is willing to invest $1.5
billion to purchase the assets. According to the internal report
of operation, after the acquisition, the company will own 492,000
net acres of land and is expected to produce roughly 43,000
barrels of oil equivalent per day. Oasis Petroleum believes that
the four agreements will get closed by the first half of Oct
Houston, Texas-based Oasis Petroleum is involved in the
acquisition of oil and gas assets located in the Williston
Basin's Montana and North Dakota regions. The company is also
engaged in the development of those resources.
Oasis Petroleum currently carries a Zacks Rank #2 (Buy), implying
that it is expected to outperform the broader U.S. equity market
over the next one to three months.
Apart from Oasis Petroleum, one can look at other exploration and
production companies like
Range Resources Corp.
SM Energy Co.
Whiting Petroleum Corp.
) that offer value. All the stocks sport a Zacks Rank #1 (Strong