Aethon III, a unit of Dallas private investment firm Aethon Energy Management LLC, agreed to buy Haynesville-Cotton Valley natural gas assets from QEP Resources Inc. of Denver.
QEP Pres. and Chief Executive Officer Chuck Stanley said the pending $735-million sale is “an important next step in our process of becoming a Permian pure-play company.”
Proceeds will finance development of QEP’s core Permian assets and reduce debt. The transaction includes producing properties, undeveloped acreage, and associated gas gathering and treating systems.
Aethon III agreed to assume all firm gas transportation agreements associated with these assets.
The effective date of the transaction is July 1, with closing expected in January 2019. The transaction is subject to closing conditions, including regulatory approval.