EON Resources Inc. Acquires South Justis Field in the Permian Basin

EON Resources Inc., an independent upstream energy firm, has announced that its subsidiary, EON Energy, LLC, will acquire the South Justis Field in Lea County, New Mexico. This acquisition involves exchanging 1 million Class A common shares for a 94% working interest in the field. No cash or debt consideration is involved. The field is estimated to generate $1.2 million in net annual cash flow, making the transaction accretive.

South Justis Field currently produces 108 barrels of oil per day from 19 active wells. It holds 210 million barrels of original oil, with 30 million produced to date. EON Energy aims to boost production by reactivating idle wells and employing strategies used in their Grayburg-Jackson Field.

The deal is set to close on June 20, 2025, with operational enhancements planned, leveraging the expertise of existing field workers transitioning to EON Energy.