BIRMINGHAM, Ala., Feb 10, 2012 (BUSINESS WIRE) — Energen Corporation (NYSE:
EGN) currently announced that a oil and gas scrutiny and prolongation subsidiary,
Energen Resources, has sealed a squeeze and sale agreement to buy a primarily
proved underdeveloped Wolfberry package from a private seller for $65.8 million
plus customary shutting adjustments.
Energen also announced that it is slicing approximately $45 million from Energen
Resources’ designed collateral investment in a San Juan Basin in 2012. This
capital rebate is a approach outcome of a stream opinion for low healthy gas
prices. The bulk of a company’s healthy gas prolongation comes from a San Juan
Basin.
PERMIAN BASIN ACQUISITION
Energen’s newest designed merger is approaching to tighten by a finish of February
and will supplement some 3,200 net acres in Midland County to a company’s extensive
Wolfberry position in a Permian Basin. The merger package includes 29
producing wells, an estimated 50 underdeveloped locations, and approximately 8.5
million barrels of oil homogeneous (MMBOE) valid and illusive reserves, of which
some 80 percent are valid undeveloped. Energen Resources does not devise to begin
developing this acreage before 2013. The company’s estimated cost to rise the
properties is $115 million.
SAN JUAN BASIN CAPITAL REDUCTION
Energen Resources expects to have finished drilling a top lapse wells in
the San Juan Basin by mid-year and will stop all drilling activities there
after Jun 30, 2012, in light of continued debility in healthy gas prices. This
reduction in healthy gas drilling will have a minimal impact on current-year
production that will be some-more than equivalent by prolongation from a existent wells
associated with a company’s latest designed Wolfberry merger (see above).
Energen Resources’ revised collateral investment skeleton for 2012 reflect
approximately $890 million for drilling and development, with $855 million
targeting a oil- and liquids-rich Permian Basin. The largest apportionment of 2012
capital — approximately $415 million — will be invested in a company’s
Wolfberry play. Energen Resources’ estimated prolongation in 2012 stays 24
MMBOE.
Energen Corporation is an oil and gas scrutiny and prolongation association with
headquarters in Birmingham, Alabama. Through Energen Resources Corporation, the
company has approximately 900 million barrels of oil-equivalent proved,
probable, and probable reserves. These all-domestic pot are located mainly
in a Permian and San Juan basins. For some-more information, go to
http://www.energen.com.
FORWARD LOOKING STATEMENT: This recover contains statements expressing
expectations of destiny plans, objectives and opening that constitute
forward-looking statements done pursuant to a Safe Harbor sustenance of the
Private Securities Litigation Reform Act of 1995. Except as differently disclosed,
the Company’s forward-looking statements do not simulate a impact of possible
or tentative acquisitions, divestitures or restructurings. We commence no
obligation to scold or refurbish any forward-looking statements, either as a
result of new information, destiny events or otherwise. All statements formed on
future expectations rather than on chronological contribution are forward-looking
statements that are contingent on certain events, risks and uncertainties that
could means tangible formula to differ materially from those anticipated. In
addition, a Company can’t pledge a deficiency of errors in submit data,
calculations and formulas used in a estimates, assumptions and forecasts. A
more finish contention of risks and uncertainties that could impact future
results of Energen and a subsidiaries is enclosed in a Company’s periodic
reports filed with a Securities and Exchange Commission.
SOURCE: Energen Corporation
CONTACT:
Energen Corporation
Julie S. Ryland, 205-326-8421
Copyright Business Wire 2012
-0-
KEYWORD: United States
North America
Alabama
INDUSTRY KEYWORD: Energy
Oil/Gas
SUBJECT CODE: Merger/Acquisition
0 comments:
Post a Comment