HOUSTON, June 29 /PRNewswire-FirstCall/ -- Newfield Exploration Company
(NYSE: NFX) today announced the closing of its previously announced
acquisition of Stone Energy's Rocky Mountain assets for $577.9 million.
These assets increase Newfield's existing presence and provide an entry
into large developments in many of the Rocky Mountain's most attractive
areas.
The acquisition was financed through borrowings under Newfield's
revolving credit agreement but will ultimately be funded through proceeds
from the Company's previously announced $1.1 billion sale of all of its
Gulf of Mexico shelf producing assets, which is expected to close in the
third quarter of 2007. Other planned divestitures currently underway
include: two producing fields in Bohai Bay, China, all assets in the U.K.
North Sea and smaller property packages onshore Texas and Oklahoma.
The Rocky Mountain acquisition will add proved reserves of
approximately 200 Bcfe, probable and possible reserves of more than 150
Bcfe and nearly 600,000 net acres. Newfield now has operations in the Green
River Basin in the prolific Pinedale and Jonah Fields (Wyoming), the
Williston Basin (Montana and North Dakota), the Powder River Basin
(Wyoming), the Northern Denver-Julesburg Basin (Wyoming) and an additional
51% interest in the deep rights below Newfield's Monument Butte Field in
the Uinta Basin (Utah).
Newfield Exploration Company is an independent crude oil and natural
gas exploration and production company. The Company relies on a proven
growth strategy of growing reserves through the drilling of a balanced
risk/reward portfolio and select acquisitions. Newfield's domestic areas of
operation include the Anadarko and Arkoma Basins of the Mid-Continent; the
Rocky Mountains; onshore Gulf Coast; and the Gulf of Mexico. The Company
has international operations in Malaysia, China and other select
international areas.
**The statements set forth in this release regarding estimated reserves
associated with the Rocky Mountain properties acquired from Stone Energy
and the anticipated closing date for the sale of the Gulf of Mexico
properties are forward looking and are based upon assumptions and
anticipated results that are subject to numerous uncertainties. Recoverable
reserves may vary significantly from those anticipated due to many factors
including drilling results, oil and gas prices, industry conditions, the
prices of goods and services, the availability of drilling rigs and other
support services and the availability of capital resources. In addition,
the drilling of oil and gas wells and the production of hydrocarbons are
subject to governmental regulations and operating risks. Completion of
Newfield's proposed divestitures is subject to Newfield receiving offers
that it considers acceptable for the properties.
For information, contact:
Investor Relations: Steve Campbell (281) 847-6081
Media Relations: Keith Schmidt (281) 674-2650
Email: info@newfield.com
SOURCE Newfield Exploration Company
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Related links:
http://www.newfield.com
CONTACT:
investor relations, Steve Campbell,
+1-281-847-6081, or media relations, Keith Schmidt,
+1-281-674-2650, all of Newfield Exploration Company,
info@newfield.com
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