HOUSTON, Feb. 28, 2018 /PRNewswire/ -- Gastar Exploration
Inc. (NYSE American: GST) ("Gastar") announced today that it has
completed the previously announced sale of its interest in the West
Edmond Hunton Lime Unit ("WEHLU") for $107.5
million, adjusted for the effective date of October 1, 2017 and resulting in net cash
proceeds of $98.8 million at
closing. The WEHLU encompasses only the Upper and Lower
Hunton producing formations and is primarily located in
Oklahoma and Logan counties, Oklahoma.
Michael A. Gerlich, Gastar's
Senior Vice President and Chief Financial Officer, commented, "The
completion of this asset divestiture allows Gastar to redirect
funds from a non-core asset to the drilling of operated
Osage and Meramec wells on our
67,000 net surface acres in our core STACK position. This
level of activity will allow us to continue to both delineate our
acreage for the Osage and Meramec
formations as well as hold our acreage by production."
About Gastar Exploration
Gastar Exploration Inc. is a pure play Mid-Continent independent
energy company engaged in the exploration, development and
production of oil, condensate, natural gas and natural gas liquids.
Gastar's principal business activities include the identification,
acquisition, and subsequent exploration and development of oil and
natural gas properties with an emphasis on unconventional reserves,
such as shale resource plays. Gastar holds a concentrated acreage
position in the normally pressured oil window of the STACK Play, an
area of central Oklahoma that is
home to multiple oil and natural gas-rich reservoirs including the
Meramec and Osage limestone
formations, the Oswego limestone, the Woodford shale and Hunton limestone
formations. For more information, visit Gastar's website at
www.gastar.com.
Forward Looking Statements
This news release includes "forward looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Forward looking statements give our current
expectations, opinion, belief or forecasts of future events and
performance. A statement identified by the use of forward
looking words including "may," "expects," "projects,"
"anticipates," "plans," "believes," "estimate," "will," "should,"
and certain of the other foregoing statements may be deemed
forward-looking statements. Although Gastar believes that the
expectations reflected in such forward-looking statements are
reasonable, these statements involve risks and uncertainties that
may cause actual future activities and results to be materially
different from those suggested or described in this news
release. These include risks inherent in natural gas and oil
drilling and production activities, including risks with respect to
continued low or further declining prices for natural gas and oil
that could result in further downward revisions to the value of
proved reserves or otherwise cause Gastar to further delay or
suspend planned drilling and completion operations or reduce
production levels which would adversely impact cash flow; risks
relating to the availability of capital to fund drilling operations
that can be adversely affected by adverse drilling results,
production declines and risks of fire, explosion, blowouts, pipe
failure, casing collapse, unusual or unexpected formation
pressures, environmental hazards, and other operating and
production risks, which may temporarily or permanently reduce
production or cause initial production or test results to not be
indicative of future well performance or delay the timing of sales
or completion of drilling operations; delays in receipt of drilling
permits; risks relating to unexpected adverse developments in the
status of properties; risks relating to the absence or delay in
receipt of government approvals or third-party consents; risks
relating to our ability to integrate acquired assets with ours and
to realize the anticipated benefits from such acquisitions; and
other risks described in Gastar's Annual Report on Form 10-K and
other filings with the SEC, available at the SEC's website at
www.sec.gov. By issuing forward looking statements based on
current expectations, opinions, views or beliefs, Gastar has no
obligation and, except as required by law, is not undertaking any
obligation, to update or revise these statements or provide any
other information relating to such statements.
Contacts:
Gastar Exploration Inc.
Michael A. Gerlich, Chief Financial
Officer
713-739-1800 / mgerlich@gastar.com
Investor Relations Counsel:
Lisa Elliott /
lelliott@dennardlascar.com
Dennard Lascar Investor Relations:
713-529-6600
View original
content:http://www.prnewswire.com/news-releases/gastar-exploration-closes-sale-of-non-core-acreage-in-oklahoma-300606188.html
SOURCE Gastar Exploration Inc.