PDC Energy sweeps up Colorado assets for $1.3 bln

DENVER, March 1, 2022 – PDC Energy has signed a definitive purchase agreement with E&P player Great Western Petroleum to acquire the company for USD 1.3 billion, the US independent announced on Monday.

The acquired entity is owned by affiliates of EIG Global Energy Partners, TPG Energy Solutions and The Broe Group. The purchase will be financed through the issuance of around 4 million shares to existing stakeholders and around USD 543 million in cash.

The transaction includes around USD 500 million of net debt.

Great Western operates the Denver-Julesburg Basin and produces around 55,000 boepd. PDC Energy estimates the company’s reserves are around 1 billion boe.

Aside from producing reserves, the purchase includes 315 identified drilling locations, including 125 wells that are drilled but uncompleted or have approval permits.

The purchase is expected to close in Q2 2022.

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