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

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Close Date
Estimated Price
$75.0MM
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.”