DALLAS--(BUSINESS WIRE)--Sep. 30, 2009--
EXCO Resources, Inc. (NYSE: XCO) (“EXCO”) today announced that it has
reached an agreement with Sheridan Holding Company I, LLC to sell all of
its producing assets in Oklahoma for $540 million, subject to customary
purchase price adjustments.
As of December 31, 2008, the properties include estimated proved
reserves of 4.8 million barrels of oil (Mmbbls) and 223.7 billion cubic
feet (Bcf) of natural gas, or 252.5 billion cubic feet of natural gas
equivalent (Bcfe), based on year-end SEC pricing. Current net production
includes 919 barrels of oil per day and 39.1 million cubic feet per day
of natural gas, or 44.6 million cubic feet of natural gas equivalent per
day.
The sale is expected to close in November 2009, subject to customary
closing conditions, and is effective as of October 1, 2009.
Douglas H. Miller, EXCO’s Chief Executive Officer commented, “This sale
substantially completes our 2009 plan to divest certain non-strategic
assets. We have now reached agreement on over $1.1 billion of such asset
sales. Including our previously announced joint venture and after all
closings of these asset sale transactions, we will have reduced debt by
$2.0 billion. These transactions have strengthened our balance sheet and
allowed us to focus more of our efforts and capital on our Haynesville
and Marcellus shale plays.”
EXCO Resources, Inc. is an oil and natural gas exploration,
exploitation, development and production company headquartered in
Dallas, Texas with principal operations in East Texas, North Louisiana,
Appalachia, West Texas and the Mid-Continent.
Additional information about EXCO Resources, Inc. may be obtained by
contacting EXCO’s Chairman, Douglas H. Miller, or its President, Stephen
F. Smith, at EXCO’s headquarters, 12377 Merit Drive, Suite 1700, Dallas,
TX 75251, telephone number 214-368-2084, or by visiting EXCO’s website
at www.excoresources.com.
EXCO’s SEC filings and press releases can be found under the Investor
Relations tab.
This release may contain forward-looking statements relating to
future financial results, business expectations and business
transactions. Business plans may change as circumstances warrant.
Actual results may differ materially from those predicted as a result
of factors over which EXCO has no control. Such factors include, but are
not limited to: estimates of reserves, commodity price changes,
regulatory changes and general economic conditions. These risk
factors and additional information are included in EXCO’s reports on
file with the Securities and Exchange Commission. EXCO undertakes no
obligation to publicly update or revise any forward-looking statements.
Source: EXCO Resources, Inc.
EXCO Resources, Inc.
Douglas H. Miller, Chairman, 214-368-2084
or
Stephen
F. Smith, President, 214-368-2084
