HOUSTON, TX / ACCESSWIRE / June 5, 2023 / HNR Acquisition Corp (NYSE: American: HNRA) (the "Company" or "HNRA") affirms its intent to purchase all equity interests in Pogo Resources, LLC and its subsidiary, LH Operating, LLC (collectively "Pogo").
About the Property
HNRA has previously announced its agreement to purchase all the equity interests in Pogo under a Membership Interest Purchase Agreement ("MIPA"). Pogo's oil and gas holdings include an approximate 13,700-acre producing leasehold located in the prolific Permian Basin in Eddy County, New Mexico.
William M. Cobb & Associates, Inc. ("Cobb"), a third-party independent engineering firm, utilizing SEC reporting guidelines estimates the present value (at a 10% discount rate) of the proven reserves at approximately $520 million as of December 2022.
The property has 95 active waterflood patterns with additional 158 patterns planned. Following the development plan in the Cobb reserve report, HNRA management expects to increase production by 2 ½ times over the current rate of 1400 barrels of oil equivalent (BOE) in the next 3 years to 4000 BOE as described in the Cobb reserve report.
Additional information on HNRA and the Pogo Property can be found in the investor deck at this link:
https://irp.cdn-website.com/52ff0a24/files/uploaded/HNRA-AcquisitionTarget-v34-IR.pdf
About HNR Acquisition Corp
HNR Acquisition Corp is a blank check company (otherwise known as a special purpose acquisition company) formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities.
For more information on HNRA, the acquisition and the transaction, please visit the Company website: https://www.hnra-nyse.com/
Forward-Looking Statements
This press release includes "forward-looking statements" that involve risks and uncertainties that could cause actual results to differ materially from what is expected, including the funding of the Trust Account to further extend the period for the Company to consummate an initial business combination, if needed. Words such as "expects," "believes," "anticipates," "intends," "estimates," "seeks," "may," "might," "plan," "possible," "should" and variations and similar words and expressions are intended to identify such forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Such forward-looking statements relate to future events or future results, based on currently available information and reflect the Company's management's current beliefs. A number of factors could cause actual events or results to differ materially from the events and results discussed in the forward-looking statements. In addition, please refer to the Risk Factors section of the Company's Form 10-K as filed with the SEC on March 31, 2023 for additional information identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements. Except as expressly required by applicable securities law, the Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
Investor Relations:
Michael J. Porter, President
PORTER, LEVAY & ROSE, INC.
[email protected]
SOURCE: HNR Acquisition Corp