Talos entered an agreement on June 19, 2020 to acquire selected assets from Castex Energy 2005 which emerged from bankruptcy in 2018 for $65 million. These assets include 16 properties in which Talos currently holds a working interest on the Gulf of Mexico shelf in the United States. These assets represent 17.6 million boe of proven reserves and daily production of 6,400 boe/d. Talos will take over as operator of 11 fields.
The $65 million purchase price will be paid with 4.95 million shares of Talos common stock and $6.5 million in cash. The deal's effective date is April 1, 2020, and the transaction is expected to close in the third quarter of 2020.