Empyrean Energy’s (LON:EME) partner in the Sugarloaf shale asset in Texas has received a higher offer from its potential acquirer.
Canadian group Baytex has increased its offer for Aurora Oil & Gas to A$4.20 per share (US$1.9bn) from A$4.10 under a scheme of arrangement.
The increase in the offer is designed to persuade two of Aurora’s largest shareholders to accept the offer.
As well as Eagle Ford, Baytex has bought assets in the in North Dakota’s Bakken and Three Forks shale formations.
Aurora has a 28% interest in Sugarloaf in addition to stakes in three other areas of mutual interest (AMI) on the Eagle Ford complex.
Empyrean has a 3% interest in Marathon–operated Sugarloaf.
Eagle Ford is the second largest tight oil play in the US and the fifth largest in terms of US shale gas production.