EQNR Closes $900MM Bakken Sale
Equinor (NYSE: EQNR) has announced that it has completed the sale of its U.S. onshore assets in the Bakken to Grayson Mill Energy.
Following completion of the deal, which was first announced in February, Equinor has divested all its operated and non-operated acreage in the Bakken field in the U.S. states of North Dakota and Montana to the company, along with associated midstream assets, for a total consideration of around $900 million.
Equinor said it will continue to operate the assets for up to four months after closing the deal as part of a transition service agreement with Grayson Mill Energy. Nearly all field staff and many of those in the support teams working on the Bakken assets will transfer to Grayson Mill Energy upon the conclusion of their transition duties within Equinor, the company noted.
The transaction covers 242,000 net acres. Entitlement production from these assets in the fourth quarter of last year was 48,000 barrels of oil equivalent per day. In parallel with this deal, Equinor’s marketing and trading division will enter into a term purchase agreement for crude offtake with Grayson Mill Energy.
Commenting on the deal in a statement released in February, Anders Opedal, the president and chief executive officer of Equinor, said the company was “optimizing its oil and gas portfolio to strengthen profitability and make it more robust for the future”.
According to Equinor’s website, the U.S. is a core area for the company’s oil and gas production. Equinor is the fifth largest producer of oil and gas in the US Gulf of Mexico and its U.S. onshore operations are Equinor’s largest international production outside of Norway, the company’s website shows. Equinor has approximately 750 employees across its U.S. headquarters in Houston, satellite offices in Stamford, Washington, and field offices in North Dakota and Ohio.
To contact the author, email andreas.exarheas@rigzone.com
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- ExxonMobil Racks Up Discoveries in Guyana Block Eyed by Chevron
- Oil Market Sentiment Has Improved Significantly
- EU, US Eye Collaboration on Nuclear Materials
- EU Electricity Export to Ukraine Up 94 Percent in Two Years
- China Coal Output Falls for First Time since Government Ordered More
- USA Driving Activity to Increase to All-Time Highs
- BP Pulse Buys One of Europe's Largest Truck Stops
- UK CCUS Plans Outdated: Think Tank
- TC Energy to Sell Prince Rupert Gas Pipeline Project to First Nation
- I Squared Eyes Full Ownership of Europe Gas Storage Firm
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Major Oilfield Discovery
- EIA Drops 2024 Henry Hub Gas Price Forecast
- EIA and Standard Chartered Offer Up Latest Oil Price Predictions
- Red Sea Region Sees Another Watershed Incident
- Chevron Oil Project in Kazakhstan to Cost $48.5B
- OPEC Voices Encouragement after IEA Affirms Support for Oil Security
- Biden Govt Bares Strategy for Freight Charging, Hydrogen Fueling Infra
- Ukraine Hits Third Russian Refinery In Escalating Drone Strikes
- Rystad Looks at the Buzz Around White Hydrogen
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- Is Peak Oil Demand Close?
- Vessel Sinks in Red Sea After Missile Strike
- JP Morgan, Standard Chartered Reveal Latest Oil Price Forecasts
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Rystad Forecasts Net Production of Top Permian Producers in 2024
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension