WPX Energy Inc (NYSE:WPX) has closed the non-core asset sale of its legacy natural gas stake in the San Juan Basin. The deal price was $169 million, contingent to usual closing adjustments.
WPX reported that the deal comprises company’s non-operated and operated gas properties in the basin. This sale does not comprise company’s oil businesses in the basin’s Gallup play. The company projects to close 2017 with cash on-hand of approximately $200 million and no debt against credit revolver. All of its revolver capacity remains unused, with the exception of outstanding letters of credit worth $70 million. CIBC Griffis & Small offered technical and financial advisory services to company for the transaction.
WPX has recorded remarkable oil volume growth for five successive years. The firm is active in the Williston, San Juan and Delaware basins. As it is known, the Delaware Basin marks as the western part of the greater Permian Basin.
In unrelated news, WPX Energy engaged Clay M. Gaspar as company’s President, effective December 1, 2017, besides his current role as the firm’s COO. Gaspar and other people in senior leadership will report directly to WPX’s CEO and Chairman Rick Muncrief. Gaspar joined company in October 2014 as SVP of resource development and operations. He was promoted to COO in November 2015.
Muncrief stated that Gaspar is highly regarded in their industry and has played an instrumental role at company implementing widespread change related with their portfolio transformation worth $7 billion. He adds value to what he performs by driving efficiencies, recruiting new talent, rotating staff across disciplines and basin to expand their viewpoints and experience, and emphasizing technical excellence.
In the last trading session, the stock price of WPX Energy gained 0.80% to close the day at $15.07. The gains came at a share volume of 5.26 million compared to average share volume of 5.73 million.