DENVER, March 21, 2014 /PRNewswire/ -- AEXCO Petroleum, Inc. ("AEXCO") is pleased to announce that it has entered into a joint venture agreement with Juneau Energy, LLC ("JE") to further develop AEXCO's assets in the Mid-Continent.
JE has committed $50 million to the development joint venture. Funded capital will be used to develop and expand AEXCO's operations in this region. Given the scale of the project and the extent of the acreage position, there is the potential to develop more than 150 horizontal and vertical drilling locations.
Drew Allan, CEO of AEXCO, commented, "We could not have aligned ourselves with a better strategic partner than JE. They truly understand the industry from all aspects."
Brad Juneau, CEO of JE said, "We look forward to a successful drilling program with AEXCO. Their geological expertise combined with local operational experience in the Mid-Continent is impressive."
Dallas-based Petro Capital Securities, LLC served as AEXCO's advisor and secured the JE capital commitment. "The AEXCO/JE joint venture was a success on many fronts as it demonstrates that investors are now offering innovative financial structures that allow for greater flexibility than that of traditional private equity concepts," said Marvin Webb, Petro Capital's Managing Director. "Today, there is a limited market for financial joint ventures; however, we expect such alternatives to continue to be accessible by companies with talented management teams, quality assets and a healthy balance sheet like AEXCO."
About AEXCO Petroleum, Inc.
AEXCO Petroleum, Inc. is an independent Denver, Colorado based energy company with a district operations office in Edmond, Oklahoma. The company is engaged in the exploration, development, acquisition and production of oil and natural gas resources with operations primarily in the Mid-Continent.
About Juneau Energy, LLC
Juneau Energy, LLC is an oil and gas company engaged in exploration, development and production. The company, formed by Juneau Exploration L.P. and Leucadia National Corporation, participates in onshore, unconventional resource development and has offices in Houston, TX and Denver, Colorado.
About Petro Capital Securities, LLC
Petro Capital Securities, LLC is a FINRA registered investment bank committed to delivering value-added capital raising, M&A and strategic advisory services to growth oriented companies in the E&P, Midstream and Oilfield Services sectors. For more information, please visit www.petrocapitalsecurities.com.
SOURCE AEXCO Petroleum, Inc.