Oil India, IOC Acquire Stake in Carrizo's US Shale Asset

Oil India Limited (OIL) and Indian Oil Corporation Limited (IOCL) have jointly acquired stakes in Carrizo Oil & Gas Inc's liquid rich shale assets in the Denver - Julesburg Basin in Colorado. 

This is OIL and IOCL's first shale acquisition in the United States. 

The duo has acquired a 30% stake in the approximately 60,000 net acres where the two firms will target development of the Niobrara shale.  As part of the transaction, OIL and IOCL will also receive a 30% interest in Carrizo's existing production, of approximately 1850 BOE/ day from 24 gross wells.

The total consideration is $82.5 Million consisting of an upfront cash payment of $ 41.25 Million and the assumption of $ 41.25 Million of Carrizo's future drilling and development costs.