Japex to buy US tight oil and gas assets for $320 million

Japan Petroleum Exploration

06/08/2026 12:46

By Yuka Obayashi
TOKYO, Aug 6 (Reuters) - Japan Petroleum Exploration 1662.T said on Thursday it will acquire all equity interests in four Fundare companies holding tight oil and gas assets in Colorado and Wyoming for about $320 million.
     
The acquisition, expected to close in the October-December quarter, follows the purchase of adjacent Verdad Resources assets in February and is expected to lower costs through operational synergies and improve development efficiency. The Fundare companies produced an average of 9,500 barrels of oil equivalent per day (boed) in January-March.
Japex has factored an operating profit contribution of more than 1 billion yen ($6.3 million) from the acquisition into its earnings forecast for the year ending March 2027, with the contribution expected to rise to about 15 billion yen the following year.
Yutaka Nishimura, an executive officer at Japex, said the company sees scope to expand around the assets acquired in February and may consider further acquisitions of U.S. tight oil and gas assets, as well as assets in other countries.
Japex secured two liquefied natural gas cargoes to replace Middle Eastern supplies in the first half of the current financial year and plans to procure another one in the second half, although it may seek an additional cargo, Nishimura said.
Net profit for April-June fell 79.4% to 3.24 billion yen from a year earlier, hurt by lower crude oil sales volumes and higher alternative LNG procurement costs following the closure of the Strait of Hormuz.
Still, Japex raised its full-year net profit forecast by 8% to 65 billion yen, citing higher-than-expected crude oil prices and increased sales volumes.

($1 = 157.8500 yen)

 (Reporting by Yuka Obayashi)
 ((Yuka.Obayashi@thomsonreuters.com; +813-4520-1265;))