NOG Closes Point Acquisition
23 September 2024 - 10:30PM
Business Wire
Northern Oil and Gas, Inc. (NYSE: NOG) (“NOG”) closed its
previously announced acquisition of Delaware Basin assets from
Point Energy Partners, LLC (“Point”), a Vortus Investments company,
on September 20, 2024.
NOG jointly acquired the assets with Vital Energy, Inc.
(“Vital”), which will become the operator of substantially all the
assets. In connection with the transaction, NOG and Vital entered
into cooperation and joint operating agreements, which include a
multi-year development plan for the Point assets.
At closing, NOG paid $205.0 million in cash, which includes a
$22.0 million deposit paid at signing in July 2024. The closing
settlement is net of preliminary and customary purchase price
adjustments and remains subject to post-closing settlements between
the parties. More information regarding this acquisition can be
found in NOG’s July 28, 2024 press release announcing the
transaction.
ABOUT NOG
NOG is a real asset company with a primary strategy of acquiring
and investing in non-operated minority working and mineral
interests in the premier hydrocarbon producing basins within the
contiguous United States. More information about NOG can be found
at www.noginc.com.
SAFE HARBOR
This press release contains forward-looking statements regarding
future events and future results that are subject to the safe
harbors created under the Securities Act of 1933 (the “Securities
Act”) and the Securities Exchange Act of 1934 (the “Exchange Act”).
All statements other than statements of historical facts included
in this release regarding NOG’s dividend plans and practices,
financial position, operating and financial performance, business
strategy, plans and objectives of management for future operations,
industry conditions, indebtedness covenant compliance, capital
expenditures, production, cash flow, hedging and other matters are
forward-looking statements. When used in this release,
forward-looking statements are generally accompanied by terms or
phrases such as “estimate,” “guidance,” “project,” “predict,”
“believe,” “expect,” “continue,” “anticipate,” “target,” “could,”
“plan,” “intend,” “seek,” “goal,” “will,” “should,” “may” or other
words and similar expressions that convey the uncertainty of future
events or outcomes. Items contemplating or making assumptions about
actual or potential future sales, production, drilling locations,
capital expenditures, market size, collaborations, and trends or
operating results also constitute such forward-looking
statements.
Forward-looking statements involve inherent risks and
uncertainties, and important factors (many of which are beyond
NOG’s control) that could cause actual results to differ materially
from those set forth in the forward-looking statements, including
the following: changes in crude oil and natural gas prices, the
pace of drilling and completions activity on NOG’s current
properties and properties pending acquisition; infrastructure
constraints and related factors affecting NOG’s properties; cost
inflation or supply chain disruptions; ongoing legal disputes over,
and potential shutdown of, the Dakota Access Pipeline; NOG’s
ability to acquire additional development opportunities, potential
or pending acquisition transactions, the projected capital
efficiency savings and other operating efficiencies and synergies
resulting from NOG’s acquisition transactions, integration and
benefits of property acquisitions, or the effects of such
acquisitions on NOG’s cash position and levels of indebtedness;
changes in NOG’s reserves estimates or the value thereof;
disruption to NOG’s business due to acquisitions and other
significant transactions; general economic or industry conditions,
nationally and/or in the communities in which NOG conducts
business; changes in the interest rate environment, legislation or
regulatory requirements, conditions of the securities markets;
risks associated with NOG’s 3.625% convertible senior notes due
2029 (the “Convertible Notes”), including the potential impact that
the Convertible Notes may have on NOG’s financial position and
liquidity, potential dilution, and that provisions of the
Convertible Notes could delay or prevent a beneficial takeover of
NOG; the potential impact of the capped call transactions
undertaken in tandem with the Convertible Notes issuance, including
counterparty risk; increasing attention to environmental, social
and governance matters; NOG’s ability to consummate any pending
acquisition transactions; other risks and uncertainties related to
the closing of pending acquisition transactions; NOG’s ability to
raise or access capital; cyber-incidents could have a material
adverse effect on NOG’s business, financial condition or results of
operations; changes in accounting principles, policies or
guidelines; events beyond NOG’s control, including a global or
domestic health crisis, acts of terrorism, political or economic
instability or armed conflict in oil and gas producing regions; and
other economic, competitive, governmental, regulatory and technical
factors affecting NOG’s operations, products and prices.
NOG has based any forward-looking statements on its current
expectations and assumptions about future events. While management
considers these expectations and assumptions to be reasonable, they
are inherently subject to significant business, economic,
competitive, regulatory, and other risks, contingencies and
uncertainties, most of which are difficult to predict and many of
which are beyond NOG's control. Accordingly, results actually
achieved may differ materially from expected results described in
these statements. Forward-looking statements speak only as of the
date they are made. You should consider carefully the statements
under the heading “Risk Factors” in NOG’s Annual Report on Form
10-K for the year ended December 31, 2022, as updated by subsequent
reports NOG files with the SEC. NOG does not undertake, and
specifically disclaims, any duty to update or revise any
forward-looking statements to reflect events or circumstances after
the date of such statements, except as may be required by
applicable law or regulation.
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version on businesswire.com: https://www.businesswire.com/news/home/20240923744044/en/
Evelyn Leon Infurna Vice President of Investor Relations (952)
476-9800 ir@northernoil.com
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