WPX Energy Completes Sale of Texas, Oklahoma Properties
TULSA, Okla., May 11, 2012 (BUSINESS WIRE) --WPX Energy (NYSE:WPX) announced today that it has completed the sale of its holdings in Texas' Barnett Shale and the Arkoma Basin in Oklahoma to an affiliate of Kohlberg Kravis Roberts & Co. for approximately $306 million, subject to typical post-closing adjustments.
"We tightened our business focus and further strengthened our balance sheet through this transaction," said Ralph Hill, WPX chief executive officer.
"In terms of our asset portfolio, we will continue to emphasize the development of our oil and liquids-rich areas in the Bakken Shale and Piceance Basin where we have nearly 300,000 acres combined," Hill added.
During first-quarter 2012, WPX averaged approximately 47,000 barrels per day of oil and NGL production - an increase of 26 percent from a year ago. Total production for all products averaged 1.4 billion cubic feet equivalent in first-quarter 2012.
The properties in the divestiture represent less than 5 percent of WPX's year-end 2011 proved domestic reserves of nearly 5.1 trillion cubic feet equivalent. Including international reserves, WPX had 5.26 Tcfe at year-end.
About WPX Energy, Inc.
WPX Energy is an exploration and production company focused on developing its significant natural gas, natural gas liquids and oil reserves, particularly in the Piceance Basin, Bakken Shale and Marcellus Shale. WPX also has domestic operations in the Powder River and San Juan basins, as well as international investments in Argentina and Colombia. Go to http://www.wpxenergy.com/investors/subscribe-to-email/ to join our e-mail list.
This press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that the company expects, believes or anticipates will or may occur in the future are forward-looking statements. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the company. Statements regarding future drilling and production are subject to all of the risks and uncertainties normally incident to the exploration for and development and production of oil and gas. These risks include, but are not limited to, the volatility of oil, natural gas and NGL prices; uncertainties inherent in estimating oil, natural gas and NGL reserves; drilling risks; environmental risks; and political or regulatory changes. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. The forward-looking statements in this press release are made as of the date of this press release, even if subsequently made available by WPX Energy on its website or otherwise. WPX Energy does not undertake and expressly disclaims any obligation to update the forward-looking statements as a result of new information, future events or otherwise. Investors are urged to consider carefully the disclosure in our filings with the Securities and Exchange Commission, available from us at WPX Energy, Attn: Investor Relations, P.O. Box 21810, Tulsa, Okla., 74102, or from the SEC's website at www.sec.gov.
SOURCE: WPX Energy
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