Pioneer Natural Resources Company (NYSE:PXD) today announced that the Company has entered into a purchase and sale agreement with a wholly-owned subsidiary of OMV AG to sell all of the stock of Pioneer's Tunisia subsidiaries for cash proceeds of $866 million, subject to normal closing adjustments.
"I want to personally thank all of our London and Tunisian employees for the value that they have created for our shareholders since we acquired the Tunisia assets nine years ago,” said Scott D. Sheffield, Pioneer’s chairman and chief executive officer. “I also want to thank ETAP (Entreprise Tunisienne d'Activités Pétrolières) and the Tunisian government for being one of the best joint-venture partners and host governments that Pioneer has had the privilege to work with.”
The financial and operating results related to Pioneer's Tunisia activities will be reflected as discontinued operations for the quarter and year ending December 31, 2010 and all prior periods presented in the company's December 31, 2010 Form 10-K. Net production from the Tunisia subsidiaries averaged approximately 5,400 barrels oil equivalent per day during 2010.
Pioneer has stated that it plans to use the proceeds from this sale to fund its activity in the Eagle Ford and Permian Basin plays in the U.S.
The transaction has an effective date of January 1, 2011 and is expected to close during the first quarter of 2011.
About Pioneer Natural Resources Co.
Pioneer Natural Resources Company is a large independent oil and gas exploration and production company, headquartered in Dallas, Texas, with operations primarily in the United States.
About OMV
OMV, one of Austria's largest industrial companies, is active in international exploration and production, refining and marketing, and gas marketing and trading.
Recommended Reading
US Drillers Add Most Oil, Gas Rigs in a Week Since September
2024-03-15 - The oil and gas rig count, an early indicator of future output, rose by seven to 629 in the week to March 15.
US Drillers Cut Oil, Gas Rigs for the First Time in Three Weeks
2024-03-08 - The oil and gas rig count, an early indicator of future output, fell by seven to 622 in the week to March 8, the lowest since Feb. 16.
US Drillers Cut Oil, Gas Rigs for Second Time in Three Weeks
2024-02-16 - Baker Hughes said U.S. oil rigs fell two to 497 this week, while gas rigs were unchanged at 121.
US Drillers Cut Oil, Gas Rigs for Third Week in a Row
2024-04-05 - The oil and gas rig count, an early indicator of future output, fell by one to 620 in the week to April 5, the lowest since early February.
US Oil, Gas Rig Count Falls to Lowest Since January 2022
2024-05-03 - The oil and gas rig count, an early indicator of future output, fell by eight to 605 in the week to May 3, in the biggest weekly decline since September 2023.