Brief: Journey Energy Announces Private Company Acquisition, Infrastructure Acquision And Upward Revision To 2022 Guidance

Journey Energy

24/03/2022 01:56

March 23 (Reuters) - Journey Energy Inc  JOY.TO :
    * ANNOUNCES PRIVATE COMPANY ACQUISITION, INFRASTRUCTURE
ACQUISION
AND UPWARD REVISION TO 2022 GUIDANCE
    * ACQUISITION PRICE WILL BE PAID FOR THROUGH ISSUANCE OF
1.75
MILLION JOURNEY SHARES PLUS $8.0 MILLION OF CASH
    * DEFINITIVE AGREEMENT TO PURCHASE A PRIVATE COMPANY
PRODUCING
APPROXIMATELY 625 BOE/D (52% OIL,NGL'S) FROM A LARGE CONTIGUOUS
LAND BASE
    * SEES FY 2022 ADJUSTED FUNDS FLOW PER BASIC WEIGHTED
AVERAGE
SHARE $1.68 - $1.78
    * PRIVATECO IS CURRENTLY CONTROLLED BY A SMALL GROUP OF
MAJOR
SHAREHOLDERS, WHO ARE SUPPORTIVE OF THIS BUSINESS COMBINATION
    * SEES FY 2022 ANNUAL AVERAGE DAILY SALES VOLUMES 9,100 –
9,600
BOE/D (47% CRUDE OIL AND NGL)
    * ENTERED INTO 2 DEFINITIVE AGREEMENTS, ONE FOR ACQUISITION
OF
PRIVATE COMPANY, OTHER FOR ACQUISITION OF PLANT,GATHERING
INFRASTRUCTURE
    * PROCEEDS OF OFFERING WILL BE UTILIZED FOR CO'S ACTIVE 2022
EXPLORATION, DEVELOPMENT FREEING UP CASH ON HAND TO PURSUE
ACQUISITIONS
    * SEES FY 2022 ADJUSTED FUNDS FLOW $87 MILLION - $91 MILLION

Source text for Eikon:  ID:nCNWG7SVVa 
Further company coverage:  JOY.TO 

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