en.Wedoany.com Reported - Zephyr Energy has expanded its operational footprint in Utah's Paradox Basin by acquiring 2,294 new acres through a lease auction held by the Utah Trust Lands Administration (TLA), bringing its total operated acreage in the region to over 72,000 acres.

The newly acquired lease blocks are adjacent to the northern area of the company's White Sands unit and were obtained through a sealed bid auction organized by the Utah Trust Lands Administration.

The lease agreements have an initial term of five years with a royalty rate of 16.67%. Zephyr stated that the acquisition was supported by existing cash reserves.

This transaction follows the company's announcement in late June of an approximately 27,000-acre acquisition. Zephyr currently operates over 72,000 gross acres in the Paradox Basin, with a 100% working interest in the majority of these holdings.

Zephyr CEO Colin Harrington expressed satisfaction with the results of the TLA auction, stating that it further enhances the scale of the Paradox project. Through each regional lease acquisition, the company consolidates and strengthens the attractiveness of its regional holdings.

Harrington noted that as the company advances the development of its northern Paradox Basin assets, it will continue to seek additional opportunities to expand its lease acreage.