Pioneer Natural Resources Company (NYSE:PXD) (“Pioneer” or “the Company”) today announced the Company is pursuing the divestment of its properties in the Barnett Shale.
Since entering the Barnett Shale in 2007, Pioneer has accumulated approximately 155,000 gross acres, of which approximately two-thirds are located in the liquids-rich Barnett Shale Combo play. The remaining one-third are located in the dry gas area of the play. The Company has grown production to approximately seven thousand barrels oil equivalent per day, of which approximately 55% is liquids (oil and natural gas liquids) and 45% is dry gas.
Scott Sheffield, Chairman and CEO, stated, “The sale of our Barnett Shale properties will allow us to strategically reallocate capital to our higher-return, core assets in the Spraberry vertical play, the horizontal Wolfcamp Shale play and the Eagle Ford Shale. We plan to utilize the net proceeds from the divestiture to reduce indebtedness under Pioneer's credit facility.”
Pioneer expects to open a data room in October and is targeting completion of the divestiture process during the first quarter of 2013. RBC Richardson Barr has been engaged to market the assets for the Company.Pioneer is a large independent oil and gas exploration and production company, headquartered in Dallas, Texas, with operations in the United States. For more information, visit Pioneer’s website at www.pxd.com. Except for historical information contained herein, the statements in this news release are forward-looking statements that are made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements and the business prospects of Pioneer are subject to a number of risks and uncertainties that may cause Pioneer's actual results in future periods to differ materially from the forward-looking statements. These risks and uncertainties include, among other things, volatility of commodity prices, product supply and demand, competition, the ability to obtain environmental and other permits and the timing thereof, other government regulation or action, the ability to obtain approvals from third parties and negotiate agreements with third parties on mutually acceptable terms, litigation, the costs and results of drilling and operations, availability of equipment, services and personnel required to complete the Company’s operating activities, access to and availability of transportation, processing and refining facilities, Pioneer's ability to implement its business plans (including its plan to complete certain asset divestments) or complete its development activities as scheduled, access to and cost of capital, quality of technical data, and environmental and weather risks, including the possible impacts of climate change. These and other risks are described in Pioneer's 10-K and 10-Q Reports and other filings with the U.S. Securities and Exchange Commission (SEC). In addition, Pioneer may be subject to currently unforeseen risks that may have a materially adverse impact on it. Pioneer undertakes no duty to publicly update these statements except as required by law.