Japex Expands US Tight Oil Presence with $320 Million Acquisition

Japex, a Japanese oil and gas company, is expanding its presence in the US tight oil and gas market. The company announced that it will acquire all equity interests in four Fundare companies for approximately $320 million.

The acquisition includes assets in Colorado and Wyoming, which produced an average of 9,500 barrels of oil equivalent per day (boed) in January-March.

Japex expects the purchase to lower costs through operational synergies and improve development efficiency. The company has factored an operating profit contribution of more than $6.3 million from the acquisition into its earnings forecast for the year ending March 2027, with the contribution expected to rise to about $15 billion yen in the following year.

Japex executive officer Yutaka Nishimura stated that the company sees scope to expand around the assets acquired in February and may consider further acquisitions of US tight oil and gas assets, as well as assets in other countries.