El Paso Corp. (EP) disclosed further details Thursday about its
planned spinoff of its exploration and production business,
including the name of the new company and expected leadership.
In a long-anticipated move, the natural-gas provider said in May
it would separate its exploration and production unit from its
pipeline and midstream businesses in a tax-free spinoff by the end
of the year.
On Thursday, El Paso said the new company will be named EP
Energy Corp. and will be listed on the Nasdaq stock exchange under
the symbol EPE.
Leading the new company will be Brent J. Smolik, who currently
serves as president of the exploration and production unit. Smolik,
49 years old, has served in that role since November 2006.
"The new name leverages the equity we have built in the El Paso
brand, and it speaks directly to what our E&P business does so
well: finding and producing oil and natural gas," said El Paso
Chief Executive Doug Foshee.
The exploration and production unit has strengthened recently,
posting profit that more doubled in the company's most recent
quarterly results.
Shares of El Paso were up 2.9% at $18.06 in early Thursday
trading. The stock is up roughly 28% since the start of the
year.
-By Mia Lamar, Dow Jones Newswires; 212-416-3207;
mia.lamar@dowjones.com