In a move which will make it an operator on Alaska's North Slope, Miller Energy Resources is acquiring Savant Alaska LLC, which operates the Badami unit, the farthest east production on the Slope.
Miller said in a release this morning that it has "signed a binding agreement" to acquire Savant Alaska, subject to due diligence and regulatory approval, and said Savant would become a wholly owned subsidiary of Miller, with the Savant team to be supported by Miller's Anchorage office. The company operates in Southcentral Alaska as Cook Inlet Energy.
The $9 million deal is expected to close by August 2014, following regulatory approval, with a May 1 effective date.
The purchase will give Miller a 67.5 percent working interest in the Badami unit; ASRC Exploration LLC holds the remaining 32.5 percent. Badami has gross production of some 1,100 barrels per day; the net to Miller would be 600 bpd.
Miller will also acquire 100 percent working interest in nearby exploration leases.
- KRISTEN NELSON
See story in May 18 issue, available online at 11 a.m., Friday, May 16