Diversified Energy to Buy East Texas Gas Assets for $245M

Diversified Energy has agreed to acquire natural gas properties and related facilities in East Texas from Sheridan Production for $245 million in cash. The deal is expected to close in the second quarter of 2026 and will be funded through Diversified’s existing senior secured bank facility.

The assets are expected to contribute about 62 MMcfed (about 10 Mboed) of net production in 2026, with an estimated annual decline rate of roughly 6%. The production mix is approximately 72% natural gas. Diversified also said the properties include about 397 Bcfe of proved developed producing (PDP) reserves, with an estimated PV-10 value of $310 million, and include roughly 75,000 acres of leasehold.