Midamerica Energy, the parent company of American Oil and Gas Company, announced on Wednesday that it would purchase a 50% stake in the drilling company Pegasus Petroleum Corporation.
The transaction is expected to close by the end of the year.
The deal was announced on Twitter and was announced by Pegasus’ CEO, Eric Jepsen.
Pegasus was founded in 2005 and is the largest private oil and gas company in the U.S. and is led by the former head of the Canadian government.
Pegasus operates in six states and is in the process of acquiring several oil and natural gas exploration rights in Texas and Oklahoma.
Pegasus has been developing oil and coal deposits in Texas, Oklahoma and Wyoming.
The company’s chief executive officer, Richard D. Cernovich, has previously said the company would be “a huge beneficiary” of President Donald Trump’s policies.
Pegasus will remain a private company, but the deal does not affect the company’s ability to make acquisitions in the future.
The company’s current drilling operations are located in the Bakken region of North Dakota.
Last month, President Trump announced that he had awarded $4 billion in new aid for oil and other energy development in the United States, including a $1 billion loan for the Keystone XL pipeline project.