Equinor ASA agreed on Feb. 10 to divest its entire Bakken Shale position as part of the Norwegian company’s strategy of optimizing its oil and gas portfolio, according to its CEO.

Grayson Mill Energy, a Houston-based E&P company backed by EnCap Investments LP, will acquire Equinor’s interests in the Bakken field for a total consideration of around $900 million. The transaction covers all of Equinor’s operated and nonoperated acreage, totaling 242,000 net acres, and associated midstream assets in North Dakota and Montana. Production from these assets in fourth-quarter 2020 was 48,000 boe/d (net of royalty interests).

“Equinor is optimizing its oil and gas portfolio to strengthen profitability and make it more robust for the future,” Anders Opedal, president and CEO of Equinor, said in a statement. “By divesting our Bakken position we are realizing proceeds that can be deployed towards more competitive assets in our portfolio, enabling us to deliver increased value creation for our shareholders.”

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