REPYY Repsol SA (QX)

By Dominic Chopping

Equinor ASA (EQNR.OS) said late Thursday it has agreed to sell its 63% stake and operatorship in the U.S. Eagle Ford shale asset to Repsol SA (REP.MC) for $325 million.

The Norwegian oil-and-gas major holds 69,000 net acres in the Texas asset through a joint venture with Repsol and following this deal Repsol will hold 100% of the asset.

"This transaction supports Equinor's strategy to optimize our onshore U.S. portfolio, enhancing our financial flexibility and focusing our capital on our core activities in the country," said Torgrim Reitan, executive vice president for Development and Production International at Equinor.

In a separate agreement, Repsol said will acquire a 20% non-operated interest in the Monument prospect that Equinor is drilling in the Northwest Walker Ridge area in the Gulf of Mexico.

Equinor plans to commence drilling this well before the end of the year.

Financial details weren't disclosed.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

November 08, 2019 02:38 ET (07:38 GMT)

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