Synergy to spend $505M in Weld

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MetroWest Report

Oil company Synergy Resources Corp. closed recently on part of a $505 million purchase of the “Greeley Crescent” area of the Wattenberg oilfield in Weld County, a company spokesman said.

Denver-based Synergy bought about 33,100 acres in the Watternberg Field in northeast Weld County from Noble Energy, according to Jon Kruljac, a company spokesman, and to a company press statement. In all, a transaction for 69,000 acres is expected to wrap up later in the year.

At the same time, Synergy officials said the company would sell about 3,700 acres in Adams County in a $27 million transaction. The specific location was not immediately available.

Synergy has beefed up its staff in recent months in anticipation of the Wattenberg purchase, Kruljac said. The company had about 30 employees a year ago and now has 70 to 75 people. More “field people” may be hired in the coming months as the company continues to ramp up its operations, he said.

Synergy’s plans in the Wattenberg Field continue to offer an “acceptable rate of return,” even with continued modest energy prices around the globe, Kruljac said. Barrels of oil bottomed out at $30 per barrel recently but now are back in the mid- to high-$40 range, he said.

Synergy is publicly traded on the New York Stock Exchange at: SYRG.