OKLAHOMA CITY--(BUSINESS WIRE)--Riley Exploration Group, LLC, (Riley) headquartered in Blanchard, Oklahoma, USA announces the acquisition of a 90% equity interest in Cinco Resources, Inc. (CRI) effective May 19, 2015, through a share exchange with private equity funds managed by Yorktown Energy Partners (Yorktown). Riley also received an investment from funds managed by Yorktown to acquire a working interest in a new 25,000 acre horizontal oil play in the Permian Basin, with potential for some of the lowest finding and development costs in North America. REXG was advised by Petrides & Co. LLC of New York.
The CRI acquisition and Yorktown’s investment will enhance Riley’s oil and gas asset portfolio, and provide Riley with high-quality growth opportunities in the Texas Gulf Coast and Permian Basins and the Oklahoma Arkoma Basin.
Riley’s CEO, Bobby Riley, said "We have been working closely with Yorktown on a number of transactions that came together in the space of a few weeks, and resulted in our net production more than doubling, while our debt remained at zero. I believe this positions us well for substantial growth in the short and medium term and supports our goal of becoming a publicly-traded company by 2016."
Pro forma for the CRI acquisition, Riley’s 2015 net production will increase to 1,600 Boepd.
Riley Exploration Group LLC is an independent energy company engaged in the exploration, development and production of oil and natural gas.
