Indianapolis-based Citizens Energy Group subsidiary Kinetrex Energy Exploration & Production has acquired a 50 percent stake in Knox County oil assets. Under terms of the agreement, Newburgh-based Trey Exploration Inc. will continue to operate the property.
Virginia-based Capstone Strategic Inc. structured the deal and its Managing Director John Dearing said "we are excited to bring together two companies with this partnership. KEEP’s investment in Knox County and partnership with TEI will allow Citizens to reinvest more of its oil and gas profits into providing unparalleled utility services to consumers for many years to come."
The companies will target increased production through what Capstone describes as "enhanced oil recovery techniques, drilling additional wells, and by exploring deeper geological formations."
Citizens serves some 800,000 people in central Indiana. TEI focuses on oil and gas production with thousands of wells in the Illinois Basin at sites in Indiana, Illinois and Kentucky.