Las Vegas-based Virtus Oil and Gas Corp. has purchased two oil-producing units in the Paradox Basin area of San Juan County in Southern Utah. The Squaw Canyon and Tin Cup Mesa units were purchased from Mar/Reg Oil Co. The terms of the acquisition were not disclosed and the company expects it to close by the end of March.
In a release, Virtus said that the combined proven reserves of the two units are at least 2 million barrels of oil.
Producing from a geological formation known as the Upper Ismay, the Tin Cup Mesa unit has produced 2.14 million barrels of oil and 3.26 million cubic feet of natural gas. The cumulative production for Squaw Canyon is 356,000 barrels of oil and 9.3 million cubic feet of gas.
Virtus Oil and Gas Corp. is an oil and gas exploration and production company currently focused on producing assets in Colorado and Utah. Virtus’ strategy is to acquire proven and producing assets and/or develop oil and gas resources in proven, onshore basins in the United States.