QEP Resources Inc., the third-largest natural gas producer and 12th-largest oil producer in Wyoming, according to the Wyoming Business Report’s research department, has announced that it is selling two natural gas assets in southwest Wyoming through its wholly-owned subsidiary, QEP Energy Co., for combined proceeds of $777.5 million.
The QEP assets in the Pinedale Anticline field in Sublette County, Wyoming,sold for $740 million to Pinedale Energy Partners LLC, an affiliate of Oak Ridge Natural Resources, LLC.
Divestiture includes an estimated 964 Bcfe of proved reserves as of December 31, 2016, and net production in the first quarter of 2017 was 234 MMcfed, of which approximately 12 percent was liquids.
As part of the Pinedale Divestiture, QEP has agreed to reimburse the buyer for certain deficiency charges it incurs related to gas processing and NGL transportation and fractionation contracts, if any, between the effective date of the sale and December 31, 2019, in an aggregate amount not to exceed $45.0 million.
The divestiture includes an estimated 15.2 Bcfe of proved reserves as of December 31, 2016, and net production in the first quarter of 2017 was approximately 4 MMcfed, of which approximately 2% was liquids.