Cimarex Agrees to Property Sales Totaling $326 million
DENVER, Aug. 25, 2014 /PRNewswire/ -- Cimarex Energy Co. (NYSE: XEC) today announced that it has signed various purchase and sale agreements to sell $326 million of oil and gas assets. Included is the sale of 4,200 net acres and associated wells in the Midland Basin located in Reagan County, Texas, for $242 million. An additional $84 million of non-core properties in the Mid-Continent and Gulf Coast are also being sold.
In total, these properties contain approximately 47 billion cubic feet equivalent of proved developed reserves (63 percent natural gas) and production of approximately 11 million cubic feet equivalent per day. All sales are expected to close on or before September 30, 2014, and are subject to customary conditions and purchase price adjustments. Proceeds will be used to fund the company's ongoing capital investment program.
About Cimarex Energy
Denver-based Cimarex Energy Co. is an independent oil and gas exploration and production company with principal operations in the Mid-Continent and Permian Basin areas of the U.S.
This communication contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including statements regarding 2014 estimated reserves and production. These statements are based on current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties are more fully described in SEC reports filed by Cimarex. While Cimarex makes these forward-looking statements in good faith, management cannot guarantee that anticipated future results will be achieved. Cimarex assumes no obligation and expressly disclaims any duty to update the information contained herein except as required by law. Actual results may differ materially from Cimarex projections and can be affected by a variety of factors outside the company's control including the risks and uncertainties described in the company's SEC reports.
SOURCE Cimarex Energy Co.