SM Energy closes non-core asset sale to Petro-Hunt

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SM Energy said Thursday it closed the previously announced sales of its remaining assets in the Williston Basin in North Dakota, and third-party-operated assets known as Halff East in Upton County, Texas, for $292.3 million.

The properties acquired by privately-held, independent producer Petro-Hunt include roughly 246 operated and 51 non-operated wells and 119,000 net acres of leasehold, Kallanish Energy reports.

After taking into account the Jan. 1, 2018, effective date for each transaction, the net cash proceeds received by SM Energy was $249.2 million, subject to final purchase price adjustments.

First-quarter 2018 net production from these assets averaged roughly 7,300 barrels of oil-equivalent per day (BOE/d, 82% oil).

The Denver-based company plans to use the sale proceeds for general corporate purposes, including debt reduction.

Dallas-vased Petro-Hunt L.L.C. and its related entities are owned and operated by the William Herbert Hunt Family and are engaged in various industries, with the primary focus the exploration and production of oil and gas worldwide.

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