Jericho Oil Corp. has signed a letter of intent to acquire a 50% working interest in 2,050 acres in the Cherokee basin in northeastern Oklahoma. Upon closing,
Jericho will begin the build-out of its second platform, focused on developing and optimizing legacy productive basins. The acquisition, which has both oil and gas production of approximately seven barrels of oil equivalent per day, will bring Jericho’s total acreage position to over 5,800 acres.
“The market’s recent turbulence has provided us an opportunity to focus our efforts on acquiring assets with good, long-term development potential at favorable pricing,” Jericho Oil CEO Allen Wilson said in a statement. “We are excited about starting our second platform and look forward to diligencing more opportunities in Oklahoma. With a strong cash position and no company debt, it is our intention to continue down this path to patiently evaluate leases as they present themselves.”