Diversified Energy Company to Acquire West Virginia and Alabama Natural Gas Assets

SEATTLE (Oil Monster): Diversified Energy Company Plc. (DEC) has announced acquisition of natural gas assets in West Virginia and Alabama. The deal, which costs $45 million, is the company's first purchase in 2025. The gas fields and related facilities were acquired from Summit Natural Resources. The company expects to close the transaction in the first quarter of the year.

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Production will increase by about 12 million cubic feet equivalent per day as a result of the acquisition. About $55 million is the projected value of the 65 billion cubic feet equivalent (Bcfe) of reserves, which should provide $12 million in adjusted EBITDA this year. The transaction also includes 265 net producing coal mine methane wells in Alabama that are near the company's Birmingham corporate headquarters.

DEC Chief Executive Officer Rusty Hutson commented on the deal, stating that the purchased asset is ideally situated within the company's current activities in southern Appalachia. The acquisition demonstrates the company's capacity to capitalize on its current assets, competencies, and intellectual capital.

The selling of incremental environmental credits is expected to generate more income for DEC.