Zephyr Energy (LSE:ZPHR) has finalized a $7.3 million purchase of mature producing assets in the Rocky Mountain basins, effective June 1, 2025. Alongside the acquisition, the company sold select wells in North Dakota and Wyoming for $1.5 million, including cash proceeds and the assumption of certain liabilities.
The acquisition is expected to boost Zephyr’s production by roughly 388 barrels of oil equivalent per day and create additional development opportunities through its $100 million joint venture. Strategically, the move strengthens the company’s position in the Powder River and Williston Basins and provides scope for further portfolio transactions via its joint venture structure.
Zephyr faces ongoing financial challenges, including losses and negative free cash flow. Technical analysis shows some potential for upward momentum, but valuation remains constrained by a negative P/E ratio and the absence of dividends.
About Zephyr Energy
Zephyr Energy is a technology-driven oil and gas company focused on sustainable resource development in the Rocky Mountain region of the U.S. Its operations emphasize both investor stewardship and environmental responsibility. The company’s key asset is a 46,000-acre lease in Utah’s Paradox Basin, complemented by a portfolio of non-operated producing wells across the Rocky Mountain basins. Zephyr aims to use cash flow from Williston production to fund development in the Paradox Basin while pursuing additional value-accretive acquisitions.
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