Denbury Sells Off Utah Paradox Basin Assets To Resolute, Navajo Nation Oil

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Close Date
Estimated Price
75MM
Description

Purchased certain nonop assets in Greater Aneth Field in UT Paradox Basin, gaining 650 BO/d, 6.4 MMBO proved.

Resolute Energy Corp., Denver, (NYSE: REN) and St. Michaels, Ariz.-based Navajo Nation Oil and Gas Co. have purchased certain nonoperated assets in the Greater Aneth Field in the Paradox Basin of Utah from Denbury Resources Inc., Plano, Texas, (NYSE: DNR) for $75 million.

Daily production according to 2012 production guidance is approximately 650 barrels of oil per day. Proved reserves as of year-end 2011 were approximately 6.4 million barrels of oil equivalent (98% oil, 58% proved developed producing).

Denbury president and chief executive Phil Rykhoek says, “This sale completes our planned 2012 noncore asset divestitures. Altogether, we sold assets for approximately $313.5 million, before taxes and closing adjustments, consisting of the sale of Vanguard Natural Resources units in January for $83.5 million, the sale of Gulf Coast assets at the end of February for $155 million, and now the sale of Paradox Basin assets for $75 million.”