2011-03-31-2011-03-22-2011-05-18

Bought assets in Uinta Basin, including 70% WI in 69,000 gross acres in Antelope project.

Harvest Natural Resources Inc., Houston, (NYSE: HNR) has reported the completion of the previously announced sale of HNR's oil and gas assets in Utah's Uinta Basin to an affiliate of Newfield Exploration Company, Houston, (NYSE: NFX) for $215.0 million in cash. The sale has an effective date of March 1, 2011. Closing occurred on May 17, 2011 at which time Newfield became the operator of the assets. The net proceeds from the sale are estimated to be $205.0 million after deductions for transaction related costs.

The combined deals will add approximately 70,000 net acres to the company's acreage position in the basin for a cost of $4,400 per acre, based on metrics by David Tameron, senior analyst at Wells Fargo Securities LLC.

Harvest's oil and gas assets are in its Antelope project area in the Uinta Basin and consist of approximately 69,000 gross acres (47,600 net acres), with a working interest of approximately 70%. Wells involved in this deal are operated by both Harvest and Newfield, and acreage is prospective for Green River/Wasatch oil and also has Mesaverde deep-gas potential, according to Wells Fargo's Tameron. Additionally, Harvest's Bar F discovery well on the acreage tested roughly 800 barrels of oil equivalent per day during a five-day period in March 2010.

Harvest also announced the repayment of the $60.0 million term loan facility with MSD Energy Investments Private II LLC, an affiliate of MSD Capital LP, also on May 17, 2011. The repayment included the repayment of the principal, accrued interest, and other fees related to the early repayment of the debt.