Pioneer Natural Resources Company Announces Plans to Divest South Texas, Raton and West Panhandle Assets

Pioneer Natural Resources Company Announces Plans to Divest South Texas, Raton and West Panhandle Assets

Pioneer Natural Resources Company (NYSE:PXD) (“Pioneer” or “the Company”) today announced that it plans to divest its properties in South Texas, Raton and the West Panhandle field.

Pioneer’s predominant asset in South Texas is its Eagle Ford Shale acreage where the Company holds approximately 70,000 net acres. All of this acreage is held by production. The Eagle Ford assets being sold represent all of Pioneer’s 46% working interest in the play, including its producing wells and associated infrastructure. Net production from this asset averaged approximately 27 thousand barrels oil equivalent per day (MBOEPD) during the fourth quarter of 2017, consisting of approximately one-third oil, one-third natural gas liquids (NGLs) and one-third gas. In addition, Pioneer will separately divest its acreage in the Sinor Nest Wilcox field.

The Raton assets being sold represent all of Pioneer’s interests in the field, including all of its producing gas wells and all other associated infrastructure. Net production from Raton averaged approximately 86 million cubic feet of gas per day during the fourth quarter of 2017.

The West Panhandle properties are located in the panhandle region ofTexas. The assets being sold represent all of Pioneer’s 100% working interest in the field, including its producing wells and associated infrastructure. Net production from this asset averaged approximately 7 MBOEPD during the fourth quarter of 2017, consisting of oil (20%), NGLs (55%) and gas (25%).

Pioneer expects to open data rooms for the planned divestitures later in the first quarter of 2018.

Timothy L. Dove, President and CEO, stated “I want to personally thank all of our South Texas, Raton and West Panhandle employees for their commitment and dedication to the continuing strong performance of these assets. They have created significant value for our shareholders over the many years we have owned these assets. After these divestitures are completed, Pioneer’s operations will be solely in the Permian Basin.”

SOURCE:  http://investors.pxd.com/news-releases/news-release-details/pioneer-natural-resources-company-announces-plans-divest-south

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