Callan JMB Inc. said it will acquire oil and gas assets in North Dakota’s Williston Basin from Reger Oil Inc. through its subsidiary Callan Power LLC, with Michael Reger, former CEO of Northern Oil and Gas, joining Callan Power as president and the Callan JMB board upon closing.
The acquisition centers on a 23-well Red River drilling program in the Williston Basin, with Callan Power holding a 75% working interest and approximately 83% net revenue interest. Chandler Energy LLC will operate the assets, retaining a 25% working interest. The program is scheduled to drill one well per month from May 2027 through March 2029, targeting an estimated ultimate recovery of about 7.3 million gross barrels of oil.
Included in the deal is access to the Focus Library, described as one of the largest privately held collections of 2D seismic and prospect data in the Williston Basin, comprising original seismic field tapes and hundreds of named drilling prospects.
Callan Power projects cumulative net operating cash flow of roughly $252 million over the wells’ productive life, assuming a flat oil price of $75 per barrel. The company expects cash-flow positivity in the first year of drilling, with approximately $25 million in net operating cash flow in 2028 and $42 million in 2029, when all 23 wells are scheduled to be operational. The financial projections are based on internal estimates and have not been audited or prepared by an independent reserve engineer.
