Wedgemount Resources Announces Completion of Acquisition of Additional Permian Basin Assets

Rhea-AI Summary

Wedgemount Resources Corp. (CSE: WDGY) (OTCQB: WDGRF) has successfully closed the acquisition of additional oil and gas assets in the Permian Basin of west central Texas. The Huggy Assets include a 100% working interest in 20,000 acres covering 37 oil and gas leases, with 111 producing wells, 8 injectors, and all surface facilities. Current production is approximately 72 boe/d of high-quality, low-decline operated production. The company made total cash payments of US$840,000 for the assets, adjusted from the previously announced price of US$900,000. Management anticipates targeting numerous hydrocarbon-producing formations in the area.

Positive

• Acquisition of 100% working interest in 20,000 acres of oil and gas assets
• 111 producing wells and 8 injectors included in the acquisition
• Current production of approximately 72 boe/d of high-quality, low-decline operated production
• Potential for targeting multiple hydrocarbon-producing formations

Negative

• Cash outlay of US$840,000 for the acquisition

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Vancouver, British Columbia--(Newsfile Corp. - August 26, 2024) - Wedgemount Resources Corp. (CSE: WDGY) (OTCQB: WDGRF) ("Wedgemount" or the "Company"), is pleased to announce that it has closed the acquisition of additional oil and gas assets (the "Huggy Assets") located in the Permian Basin of west central Texas pursuant to a Purchase and Sale Agreement ("PSA") with an arm's length private company (the "Seller") located in Texas, USA.

Under the PSA, Wedgemount has acquired a 100% working interest in the Huggy Assets which cover 20,000 acres of 37 oil and gas leases, hosting 111 producing wells, eight injectors and all surface facilities. Current production from the 111 wells is approximately 72 boe/d of high-quality, low-decline operated production. The area's geology consists of numerous hydrocarbon-producing formations, which management anticipates will be targeted by the Company.

Wedgemount made total cash payments to the Seller of US$840,000 for the Huggy Assets, adjusted from the previously announced total purchase price of US$900,000.

About Wedgemount Resources Corp.

Wedgemount Resources is a junior oil & gas company focused on maximizing shareholder value through the acquisition, development and exploitation of natural resource projects in the southern USA.

On behalf of the Board of Directors,

WEDGEMOUNT RESOURCES CORP.

Mark Vanry, President and CEO

For more information, please contact the Company at:
Telephone: (604) 343-4743
info@wedgemountresources.com
www.wedgemountresources.com

Reader Advisory

This news release may contain statements which constitute "forward-looking information", including statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors, or its officers with respect to the future business activities of the Company. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, or its management, are intended to identify such forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future business activities and involve risks and uncertainties, and that the Company's future business activities may differ materially from those in the forward-looking statements as a result of various factors, including, but not limited to, availability of funds, personnel and other resources necessary to conduct exploration or development programs, successes of the Company's exploration efforts, availability of capital and financing and general economic, market or business conditions. There can be no assurances that such information will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. The Company does not assume any obligation to update any forward-looking information except as required under the applicable securities laws.

Neither the Canadian Securities Exchange nor the Canadian Investment Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/221063

FAQ

What assets did Wedgemount Resources (WDGRF) acquire in the Permian Basin?

Wedgemount Resources acquired the Huggy Assets, which include a 100% working interest in 20,000 acres covering 37 oil and gas leases, 111 producing wells, 8 injectors, and all surface facilities in the Permian Basin of west central Texas.

How much did Wedgemount Resources (WDGRF) pay for the Huggy Assets?

Wedgemount Resources made total cash payments of US$840,000 for the Huggy Assets, adjusted from the previously announced total purchase price of US$900,000.

What is the current production from the newly acquired Huggy Assets by Wedgemount Resources (WDGRF)?

The current production from the 111 wells in the Huggy Assets is approximately 72 boe/d of high-quality, low-decline operated production.

What are Wedgemount Resources' (WDGRF) plans for the newly acquired Permian Basin assets?

Management anticipates targeting numerous hydrocarbon-producing formations in the area, as the geology consists of multiple potential production zones.