Pages

Thursday, March 28, 2013

Update on Denbury Acquisition in the Williston Basin; Acquired From COP

Note: this deal and other North Dakota details are archived at the sidebar at the right.

Don alerted me to this press release, an update of a previously announced deal:
Denbury Resources Inc. today announced the closing of its acquisition of producing property interests in the Cedar Creek Anticline of Montana and North Dakota from a wholly-owned subsidiary of ConocoPhillips (BR?) for cash consideration of $1.05 billion before purchase price adjustments. 
The acquired assets include additional interests in certain of Denbury's existing operated fields in CCA along with operating interests in other CCA fields. The company estimates the final adjusted purchase price will be closer to $1.0 billion after adjustment for the net cash flows from the assets between the January 1, 2013 effective date and the closing date.
The purchase was part of a like-kind exchange transaction that was funded with a portion of the cash received from the Company's Bakken sale and asset exchange with ExxonMobil completed in December 2012.
As previously announced, Denbury estimates the acquired properties will contribute approximately 7,700 barrels of oil equivalent per day ("BOE/d") to its full-year 2013 average daily production, which reflects estimated average daily production of about 10,200 BOE/d for the remainder of the year.