Marathon Oil has entered into a definitive agreement with Hilcorp Alaska for the sale of all of Marathon Oil's Alaska assets in US.

Subject to completion of the necessary government and regulatory approvals, the firms expect to close the transaction this year.

The sale includes 17 million barrels of oil equivalent of net proved reserves across ten fields in the Cook Inlet as well as natural gas storage, and interests in natural gas pipeline transmission systems.

Net production averaged around 93 million cubic feet of natural gas per day and 112 barrels of oil per day last year.

Additionally, Marathon Oil has about 12.5 billion cubic feet of natural gas in storage at the end of 2011.

The company said the sale does not include Marathon Oil’s Alaska onshore drilling rig, which is being marketed separately.