Unit Corporation (UNT) announced that its wholly owned subsidiary, Unit Petroleum Company (Unit Petroleum), has entered into two separate agreements to sell certain non-core oil and natural gas assets for $268.0 million, subject to customary pre-closing and post-closing adjustments.
Unit Petroleum has entered into an agreement with QEP Energy, a wholly owned subsidiary of QEP Resources, Inc. (QEP), to sell its interest in certain of its Bakken properties as part of a transaction that QEP recently announced it is acquiring in North Dakota's Williston Basin. In the other transaction, Unit Petroleum has entered into an agreement with an unaffiliated buyer to sell certain oil and natural gas assets located in Brazos and Madison counties of Texas, including Buda and Woodbine production and associated acreage.
The effective date for both transactions is July 1, 2012, and both are anticipated to close in September 2012. Second quarter 2012 average production for the combined properties being sold was approximately 1,200 net barrels of oil equivalent per day.
"We are pleased to announce these strategic divestitures for Unit," commented Larry D. Pinkston, Unit's President and Chief Executive Officer. "This is an important step that will create additional liquidity for future acquisitions and development in our core areas. These transactions are part of non-core divestitures that Unit has been pursuing."