08:55 AM EST, 03/06/2025 (MT Newswires) -- Petro-Victory Energy ( PTVRF ) and BlueOak Investments on Thursday agreed to acquire Brazil-based oil and gas company Capixaba Energia for US$17.5 million.

The deal includes four oil fields in the Espirito Santo Basin and two exploration blocks adjacent to major producers, according to a statement. Under the terms, BlueOak will fund 100% of the acquisition and will be the controller, while Petro-Victory will be the operator. Petro-Victory will begin with a nominal equity position at closing and will eventually earn in 20% to 50% upon reaching certain thresholds.

Petro-Victory said it is not required to provide additional capital to attain the relevant equity position and the company will be paid to operate the assets.

"This acquisition strengthens our position in Brazil, firmly establishing Espirito Santo basin as a key area for production growth and complementing our presence in the Barreirinhas and Potiguar basins, where we are already well-positioned," Petro-Victory CEO Richard Gonzalez said.

The transaction is expected to close in the second quarter.