Japan Petroleum Exploration Co., Ltd. (JAPEX) has approved the acquisition of U.S. tight oil and gas assets through the purchase of all equity interests in Verdad Resources Intermediate Holdings LLC, marking a significant expansion of its North American upstream portfolio.
The transaction will be executed via Peoria Resources Acquisition Company, LLC, an overseas subsidiary managed by Peoria Resources, LLC. Closing is expected around the end of February 2026, subject to customary conditions.
The acquired assets are located primarily in the Denver-Julesburg basin in northeastern Colorado, with additional interests in southeastern Wyoming. JAPEX said the assets will be operated directly and are expected to materially strengthen its production and reserves base, with net production projected to approximately double and proved reserves to increase by roughly threefold.
Following completion of the acquisition, Peoria Resources will lead production and development activities, establishing an operator-led business in the U.S. tight oil and gas sector. JAPEX plans to staff the operation with approximately 50 personnel, including existing Peoria employees and operational staff transitioning from the seller.
JAPEX intends to pursue continuous development of the assets beginning in 2026 and extending into the early 2030s. Management roles for the U.S. operations include industry veterans with experience at BP and other North American E&P companies.
The acquisition aligns with JAPEX’s strategy to expand its upstream footprint in North America and leverage operational expertise gained through prior U.S. projects. The company also indicated that the assets could support future growth opportunities, including gas development and potential collaboration with LNG projects, as well as the application of subsurface and carbon capture expertise developed in other regions.
JAPEX said the transaction strengthens its long-term earnings base while supporting disciplined growth in established U.S. unconventional basins.