WPX Energy Completes $350 Million Sale of Pipeline Interest
May 23 2019 - 8:15AM
Business Wire
A subsidiary of WPX Energy (NYSE: WPX) and its joint venture
partner in the Oryx II pipeline have completed the sale of the
project.
WPX received net proceeds of approximately $350 million for its
25 percent equity interest after adjusting for debt financing
related to Oryx II.
In addition, WPX expects to save approximately $40 million in
planned equity investments for the balance of the year due to the
sale.
WPX is retaining its contractual rights as a shipper on Oryx and
plans to deploy proceeds from the transaction to pay off its
revolver balance.
The Oryx II transaction is WPX’s second midstream monetization
in 2019. WPX already closed the sale of a 20 percent equity
interest in WhiteWater Midstream’s Agua Blanca natural gas pipeline
system.
WPX invested approximately $125 million in the Oryx and
WhiteWater systems, primarily in 2017 and 2018. The investments
generated approximately half of a billion dollars in net proceeds
this year.
About WPX Energy, Inc.
WPX is an independent energy producer with core positions in the
Permian and Williston basins. WPX’s production is approximately 80
percent oil/liquids and 20 percent natural gas. The company also
has an infrastructure portfolio in the Permian Basin.
Visit www.wpxenergy.com for more information.
This press release includes “forward-looking statements” within
the meaning of the Private Securities Litigation Reform Act of
1995. All statements, other than statements of historical facts,
included in this press release that address activities, events or
developments that the company expects, believes or anticipates will
or may occur in the future are forward-looking statements. Such
statements are subject to a number of assumptions, risks and
uncertainties, many of which are beyond the control of the company.
Statements regarding future drilling and production are subject to
all of the risks and uncertainties normally incident to the
exploration for and development and production of oil and gas.
These risks include, but are not limited to, the volatility of oil,
natural gas and NGL prices; uncertainties inherent in estimating
oil, natural gas and NGL reserves; drilling risks; environmental
risks; and political or regulatory changes. Investors are cautioned
that any such statements are not guarantees of future performance
and that actual results or developments may differ materially from
those projected in the forward-looking statements. The
forward-looking statements in this press release are made as of the
date of this press release, even if subsequently made available by
WPX Energy on its website or otherwise. WPX Energy does not
undertake and expressly disclaims any obligation to update the
forward-looking statements as a result of new information, future
events or otherwise. Investors are urged to consider carefully the
disclosure in our filings with the Securities and Exchange
Commission, available from us at WPX Energy, Attn: Investor
Relations, P.O. Box 21810, Tulsa, Okla., 74102, or from the SEC’s
website at www.sec.gov.
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MEDIA CONTACT:Kelly Swan(539) 573-4944
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