Pioneer Natural Resources has agreed to sell all of its assets in the West Panhandle field in Texas to an undisclosed buyer for $201m.
Image: Pioneer Natural Resources to sell its assets in West Panhandle. Photo: Courtesy of rsvstks/FreeImages.com
The transaction is expected to close during the third quarter, subject to the satisfaction of customary closing conditions and receipt of specified regulatory approvals.
Pioneer Natural Resources president and CEO Timothy L. Dove said: “Throughout Pioneer’s history, the West Panhandle field has been a core asset that has added significant value for our shareholders and consistently generated excess cash flow for reinvestment. I want to personally recognize and thank the West Panhandle field employees for their dedication and all of their efforts in making this field an important part of Pioneer’s success.”
The assets being sold represent all of Pioneer’s interests in the field, including all of its producing wells and the associated infrastructure. The sale of Pioneer’s West Panhandle assets is expected to result in a pretax gain of $155m to $170m, which is expected to be recorded during the third quarter of 2018. Net production from West Panhandle field averaged approximately 6,000 barrels of oil equivalent per day during the first quarter of 2018.
Pioneer is a large independent oil and gas exploration and production company, headquartered in Dallas, Texas, with operations in the United States.
Source: Company Press Release