Legacy Oil + Gas Inc. announces closing of deleveraging light oil corporate acquisition

CALGARY, June 12, 2014 /CNW/ - Legacy Oil + Gas Inc. ("Legacy" or the "Company") (TSX:LEG) has closed the acquisition of Highrock Energy Ltd. ("Highrock") previously announced on May 7, 2014 (the "Acquisition").  Through the Acquisition, Legacy acquired high quality, high netback, light oil assets focused in its southeast Saskatchewan core areas for total consideration of 18.8 million Legacy common shares and assumed estimated net debt of $33.8 million. Highrock's net debt on closing was below 0.8 times estimated annualized funds flow from operations, resulting in a deleveraging of Legacy's balance sheet. The producing properties are predominately operated with high working interests, 3D seismic coverage and control of key producing infrastructure and are associated with a light oil prospective undeveloped land base.  The Acquisition also adds several key sections of land in Legacy's Taylorton/Pinto and Manor core properties and adds land in the emerging Torquay (Three Forks) play at Flat Lake and the emerging Duvernay play in Alberta.

Legacy is a uniquely positioned, well‐capitalized, technically driven, intermediate oil and natural gas company with a proven management team committed to aggressive, cost‐effective growth of light oil reserves and production in large hydrocarbon in‐place assets and resource plays. Legacy's common shares trade on the TSX under the symbol LEG.

This press release shall not constitute an offer to sell, nor the solicitation of an offer to buy, any securities in the United States, nor shall there be any sale of securities mentioned in this press release in any state in the United States in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

 

SOURCE Legacy Oil + Gas Inc.

For further information:

Trent J. Yanko, P.Eng.
President + CEO

Legacy Oil + Gas Inc.
4400 Eighth Avenue Place
525 - 8th Avenue SW
Calgary, AB T2P 1G1

Telephone: 403.441.2300
Fax: 403.441.2017

Matt Janisch, P.Eng.
Vice-President, Finance + CFO

Legacy Oil + Gas Inc.
4400 Eighth Avenue Place
525 - 8th Avenue SW
Calgary, AB T2P 1G1

Telephone: 403.441.2300
Fax: 403.441.2017