Newfield To Sell Granite Wash Assets For $588 Mln

(RTTNews) - Newfield Exploration Co (NFX) Tuesday agreed to sell its Granite Wash assets to Oklahoma City-based Templar Energy LLC for $588 million. The sale is expected to close in the third quarter of 2014.

Newfield's assets in the Granite Wash include approximately 42,000 net acres and current net daily production is nearly 65 MMcfe/d, of which about 60% is natural gas. Proved net reserves at year-end 2013 were approximately 38 MMBOE.

Newfield intends to use the proceeds from this sale to call its 71/8% Senior Subordinated Notes due in 2018.

Newfield also disclosed it is now completing its planned repairs to its Pearl facility (jacket), located in the South China Sea. First oil is expected in the fourth quarter of 2014 with gross facility capacity of 40,000 BOPD gross. The company intends to monetize its business in China.