05:27 PM EST, 11/26/2024 (MT Newswires) -- Logan Energy ( LOECF ) after trade Tuesday said it has agreed to buy a 50% working interest in assets in the Montney shale field in Alberta from Gran Tierra Energy ( GTE ) for $52 million and will pay for the acquisition, in part, with a bought-deal share offering

The deal includes current production of about 795 barrels of oil equivalent per day (BOE/d), 25 sections of Montney acreage, 45 drilling locations, and infrastructure like a 50% interest in a 9-million-barrel water reservoir.

The acquisition went into effect on Sept. 1 and is set to close around Dec. 17, the company said.

The company added pro forma the acquisition, it aims to increase production to between 24,000 and 27,000 BOE/d by 2028, up from its earlier target of 20,000 to 25,000 BOE/d.

Logan Energy ( LOECF ) also entered an agreement with a group of underwriters to sell about 47.95-million shares at $0.73 each, raising about $35 million.

Logan shares closed down $0.01 to $0.78 on the TSX Venture Exchange.