ZaZa Sells Moulton Assets

Plans to sell its Moulton assets, which includes interest in seven producing wells in Fayette, Gonzalez and Lavaca counties, Texas.

ZaZa Energy Corp. (NYSE: ZAZA) will sell its Moulton assets, which include the company’s interest in seven producing wells in Fayette, Gonzalez and Lavaca counties, Texas for about $43.3 million.

This transaction is expected to close during the second quarter of 2013 and is subject to normal closing conditions.

ZaZa also announced that it plans to sell the remainder of its Moulton properties for about $9.2 million to an undisclosed buyer.

Todd A. Brooks, president and chief executive of ZaZa stated, "As part of the Hess division of assets in 2012, we received cash and a significant amount of acreage in the Eagle Ford play. We are in the process of monetizing select assets in order to improve our balance sheet and high grade our resource base with a focus on the Eaglebine.”

“We believe these independent transactions are a testament to the strength of our technical and land teams, as we originally evaluated and leased this acreage in a short period of time for the benefit of our Eagle Ford joint venture," Brooks said.

ZaZa intends to use the proceeds to fund a portion of capital expenditures for exploration on its other properties and further reduce the principal amount of its senior secured notes.