WPX Energy Completes $350 Million Sale of Pipeline Interest
TULSA, Okla.–(BUSINESS WIRE)–A subsidiary of WPX Energy (NYSE: WPX) and its joint venture partner in
the Oryx II pipeline have completed the sale of the project.
WPX received net proceeds of approximately $350 million for its 25
percent equity interest after adjusting for debt financing related to
In addition, WPX expects to save approximately $40 million in planned
equity investments for the balance of the year due to the sale.
WPX is retaining its contractual rights as a shipper on Oryx and plans
to deploy proceeds from the transaction to pay off its revolver balance.
The Oryx II transaction is WPX’s second midstream monetization in 2019.
WPX already closed the sale of a 20 percent equity interest in
WhiteWater Midstream’s Agua Blanca natural gas pipeline system.
WPX invested approximately $125 million in the Oryx and WhiteWater
systems, primarily in 2017 and 2018. The investments generated
approximately half of a billion dollars in net proceeds this year.
About WPX Energy, Inc.
WPX is an independent energy producer with core positions in the Permian
and Williston basins. WPX’s production is approximately 80 percent
oil/liquids and 20 percent natural gas. The company also has an
infrastructure portfolio in the Permian Basin. Visit www.wpxenergy.com for
This press release includes “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995. All
statements, other than statements of historical facts, included in this
press release that address activities, events or developments that the
company expects, believes or anticipates will or may occur in the future
are forward-looking statements. Such statements are subject to a
number of assumptions, risks and uncertainties, many of which are beyond
the control of the company. Statements regarding future drilling
and production are subject to all of the risks and uncertainties
normally incident to the exploration for and development and production
of oil and gas. These risks include, but are not limited to, the
volatility of oil, natural gas and NGL prices; uncertainties inherent in
estimating oil, natural gas and NGL reserves; drilling risks;
environmental risks; and political or regulatory changes. Investors
are cautioned that any such statements are not guarantees of future
performance and that actual results or developments may differ
materially from those projected in the forward-looking statements. The
forward-looking statements in this press release are made as of the date
of this press release, even if subsequently made available by WPX Energy
on its website or otherwise. WPX Energy does not undertake and
expressly disclaims any obligation to update the forward-looking
statements as a result of new information, future events or otherwise.
Investors are urged to consider carefully the disclosure in our
filings with the Securities and Exchange Commission, available from us
at WPX Energy, Attn: Investor Relations, P.O. Box 21810, Tulsa,
Okla., 74102, or from the SEC’s website at www.sec.gov.