Questfire Energy Acquires 5,900 boe/d from Advantage Oil & Gas

Energy Corp. (TSXV:Q.A, TSXV:Q.B) announced that it has acquired approximately 5,900 boe/d of conventional producing assets from Advantage Oil & Gas Ltd. for total consideration consisting of $55 million of cash, a $27 million Convertible Senior Secured Debenture and 1.5 million Class B shares.

As quoted in the press release:

The assets to be acquired are located in Alberta, have a relatively low production decline and are comprised of approximately 80% natural gas and 20% light oil and natural gas liquids. The majority of the production is operated with high working interest. The assets include a total net land base of approximately 300,000 acres (469 sections), a significant 2D and 3D seismic database and significant oil and gas gathering and processing infrastructure. Forecast cash-flow from operations for the producing assets for calendar 2013 is approximately $23 million.

To view the whole press release, click here.