Magnum Hunter Resources Corp. (NYSE: MHR) has announced that Bakken Hunter LLC, a wholly-owned subsidiary of the Houston-based company, closed on the sale of certain non-core and non-operated working interests in oil and gas properties located in Divide County, N.D. to a privately held company affiliated with Formation Energy LP. The sales price of the properties was $23,051,320 in cash, after taking into account customary purchase price adjustments, and was received by Magnum Hunter from this sale. The effective date of the transaction was April 1, 2014. The properties currently account for approximately 170 BOE of average daily production, net to the ownership interest sold to the buyer, and consist of a non-operated working interest in approximately 34,600 gross (2,852 net) leasehold acres.
Gary C. Evans, chairman of the board and CEO of Magnum Hunter, commented, "The sale of this additional package of non-core, non-operated properties located in North Dakota continues our stated game plan and now increases our total divestitures so far this year to approximately $125 million in gross proceeds. The proceeds of these divestitures have been used to reduce our overall indebtedness and to fund our growing operations in the Marcellus and Utica Shale plays of West Virginia and Ohio. We anticipate the announcement of additional divestitures of non-core assets, which we are currently negotiating, throughout the remainder of the year."
Recommended Reading
Marketed: Confidential Seller Certain Mineral, Royalty Interests in Louisiana
2024-02-13 - A confidential seller retained RedOaks Energy Advisors for the sale of certain mineral and royalty interests in Louisiana.
Marketed: Private Seller Certain Royalty Properties in D-J Basin
2024-02-13 - A private seller retained RedOaks Energy Advisors for the sale of certain royalty properties in the D-J Basin.
NOG Closes Utica Shale, Delaware Basin Acquisitions
2024-02-05 - Northern Oil and Gas’ Utica deal marks the entry of the non-op E&P in the shale play while it’s Delaware Basin acquisition extends its footprint in the Permian.
Vital Energy Again Ups Interest in Acquired Permian Assets
2024-02-06 - Vital Energy added even more working interests in Permian Basin assets acquired from Henry Energy LP last year at a purchase price discounted versus recent deals, an analyst said.
Dorchester Minerals Buys Interests in Two Colorado Counties
2024-04-01 - Dorchester Minerals’ acquisition totals approximately 1,485 net royalty acres for roughly $17 million.