Panhandle Oil and Gas acquires rights in two key shale plays
OKLAHOMA CITY – Panhandle Oil and Gas has closed the previously announced purchase of two mineral and royalty packages in Grady County, Okla., and Panola and Harrison Counties, Texas, from Red Stone Resources, LLC for approximately $5.5 million in cash and 153,375 shares of Panhandle common stock, which are subject to the customary closing adjustments. Panhandle is entitled to the cash flow from production attributable to the acquisitions beginning on and after June 1, 2020.
Chad L. Stephens, President and CEO, commented "The closing of the Red Stone acquisitions is another important milestone for Panhandle in a challenging market as we continue our transition to a company focused on minerals. As 2020 draws to a close and we start looking toward 2021, I am optimistic about the other opportunities in the marketplace and look forward to Panhandle continuing to be a consolidator in the mineral space."