Beta Oil & Gas to Buy Oklahoma Company
Beta Oil & Gas Inc., a Newport Beach-based oil and natural-gas exploration company, said Thursday that it agreed to buy closely held Red River Energy LLC for about $14.1 million in stock.
Red River produces and transports natural gas and oil in Oklahoma. Two of the company’s projects have “substantial upside potential,†Beta said in a statement.
Beta will give Red River’s owners 2.25 million shares of common stock, valued at about $14.1 million based on Wednesday’s closing price, and assume $7.6 million in debt.
Newport Beach-based Beta raised $8.8 million when it first sold shares to the public in August. The company looks for oil and gas in Texas, Louisiana and California. Beta shares were unchanged at $6.25.
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