Tamboran Resources will acquire Falcon Oil & Gas, creating a 2.9-million-acre Beetaloo Basin powerhouse.
Under the agreement, Tamboran will acquire Falcon via the acquisition of all its subsidiaries in exchange for 6,537,503 shares of Tamboran NYSE Common Stock and a cash consideration of $US23.7 million.
“The transaction between Tamboran and Falcon is a logical consolidation of two of the Beetaloo Basin’s most active companies,” Tamboran Chairman and Interim CEO Richard Stoneburner said.
“The transaction will also strengthen Tamboran’s acreage position across the majority of the Beetaloo depocenter following the checkerboarding process with DWE.
“Tamboran will have approximately 2.9 million net prospective acres across the Beetaloo Basin, including 22.5 per cent non-operating interest in all DWE checkers.
“Strategically, we believe this transaction will strengthen our ownership over the Phase 2 Development Area, where we are currently undertaking a farmout process with RBC Capital Markets. This will allow us to sell down a larger position to a new partner while maintaining a material working interest over acreage.
“We recognise the Falcon shareholders for their work in identifying the opportunity of the Beetaloo Basin and bringing in key historic partners including Hess Corporation and Origin Energy to help de-risk the play.”
On completion, Falcon will distribute Tamboran shares to eligible shareholders of Falcon at an exchange ratio of 0.00687 shares of Tamboran NYSE Common Stock for each Falcon Common Stock. Falcon shareholders will own ~26.8 per cent of the pro forma business. Tamboran stockholders will own the remaining 73.2 per cent.
Subscribe to Energy Today for the latest project and industry news.