Swift Energy said that additional agreements for the sale of the remainder of its New Zealand assets are being negotiated and are anticipated to be in place in early 2008. Assuming all transactions are completed, Swift Energy expects to realize total cash proceeds of between $100 and $110 million from its New Zealand asset disposition effort.
Upon closing of the transactions, which is expected to take place in the first quarter of 2008, the sale of the assets is expected to result in a non-cash book write-down of approximately $115 to $125 million, or $3.70 to $4 per diluted share.
Swift said that the net proceeds from the sale will be used to reduce the outstanding amounts of borrowings under its bank line of credit, which currently has approximately $200 million outstanding.
