The company will operate the properties with around 98% working interest and average net revenue interest of more than 78%. The acquisition includes approximately 14,000 net acres in the Delaware Basin.
Ring Energy plans to finance the acquisition using a new five-year $500m senior credit facility, to.and existing cash reserves.
The acquired properties currently produce approximately 1,300 barrels of oil equivalent per day (boe/d).
Ring CEO Kelly Hoffman said: "This acquisition represents an ideal complement to our existing core area in west Texas.
"Not only does it immediately add reserves and increase our current production, but offers excellent upside through the drilling of new vertical wells with multiple pay zones and the reworking of existing wells."
