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SNYDER OIL ANNOUNCES WYOMING PURCHASE

 FORT WORTH, Texas, Nov. 30 ~PRNewswire~ -- Snyder Oil Corporation (NYSE: SNY) ("SOCO") announced today that it had agreed to acquire certain producing properties from ARCO Oil and Gas Company, a division of ARCO, for a price of approximately $56 million as of year-end 1992. The effective date of the purchase is July 1, 1992 and the stated purchase price of $63 million is being adjusted for cash flow subsequent to that date. ARCO may be entitled to additional payments based on future oil prices and will retain an overriding royalty interest for five years. The purchase is subject to negotiation of a definitive agreement and certain regulatory approvals.
 The properties consist primarily of ARCO's interest in four fields in north central Wyoming, all of which are sizable with long established production. SOCO's independent engineering firm has credited the properties with proved reserves of 17 million barrels of oil equivalents as of Dec. 31, 1992. This would indicate a cash purchase price of approximately $3.27 per net equivalent barrel plus the value of the price participation. The reserves are roughly 75 percent oil. Over 95 percent of the reserves currently classified as proved are Proved Developed Producing. The acquisition will increase SOCO's proved reserves by roughly 25 percent and its current production by almost 30 percent. In announcing the acquisition, John C. Snyder, SOCO's chairman said, "We are extremely pleased to purchase properties of this size and quality within our primary area of operations. In our view, this is exactly the type of transaction which makes sense for both the major oil company seller and an exploitation oriented independent. Our favorable cost structure and operational expertise in the area should lead to substantially enhanced values."
 SOCO is engaged in the production, development, acquisition and exploration of oil and gas properties and in natural gas processing and transportation. The company's common and convertible preferred shares are traded on the New York Stock Exchange under the symbols "SNY" and "SNY Pr."
 -0- 11~30~65
 ~CONTACT: Patti J. Irwin, vice president of Snyder Oil Corporation, 817-882-5902~
 (SNY)


CO: Snyder Oil, ARCO Oil ST: Texas IN: OIL SU: TNM

TM -- NY084 -- 2141 11~30~92 18:41 EST
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Publication:PR Newswire
Date:Nov 30, 1992
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