Houston-based EON Resources said this week it reached agreement with Enstream Capital Management for $22.5 million in well completion funding.  EON anticipates using the funds to develop 45 wells using low-cost workovers on the company’s 13,700 leasehold acres in Eddy County in southeast New Mexico in Permian Basin.  And the company also plans to use the funds for acquisition of an overriding royalty interest in the property.

Monday’s announcement said EON and Dallas-based Enstream view their relationship as a long-term opportunity to provide funding for multi-phase and multi-year development of the property with minimal capital outlays by the company.  Dante Caravaggio, CEO and president of EON, said, “We expect to complete this transaction to begin production in the first quarter of 2025 and start having a positive impact on EON’s financial condition in 2025 and for many years to come.”

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