12 Jul Halcón Resources divests North Dakota shale assets in $1.4 billion deal
US-based shale oil producer Halcón Resources Corp (NYSE:HK) will sell its Williston Basin assets in North Dakota to a unit of Bruin E&P Partners for US$1.4 billion in cash.
The sale represents a significant turnaround for Halcón, who filed for bankruptcy last year amid depressed oil prices, and is part of the firm’s plan to shift its focus towards the Permian Basin in Texas, the largest oilfield in the US.
“The sale of our Williston Basin operated assets transforms Halcón into a single-basin company focused on the Delaware Basin where we have more than 41,000 net acres,” said chief executive Floyd Wilson.
The North Dakota operations, which produce about 29,000 barrels per day (bpd) of shale, will come under new private ownership in the shape of Bruin E&P Partners by August.
Halcón produces around 7,500 bpd across two drilling rigs in the Delaware Basin area of the Permian, having entered the region in January. By the end of the year, it hopes to produce around 13,000 bpd in the Permian.