PERTH (miningweekly.com) – Diversified giant BHP has completed the sale of its Fayetteville Onshore US gas assets for $0.3-billion.
BHP in July announced that it had struck a deal with Merit Energy Company to divest of its interest in BHP Billiton Petroleum (Arkansas) and its membership interest in BHP Billiton Petroleum (Fayettteville), which hold the Fayetteville assets.
The producing operation consists of some 258 000 acres, and in the 2018 financial year produced 13.3-million barrels of oil equivalent.
BHP said on Monday that the completion of the company’s $10.5-billion sale in Eagle Ford, Haynesville and Permian Onshore US oil and gas assets to BP American Production Company, is expected by the end of this month.
Completion of that sale is subject to the satisfaction of regulatory approvals and conditions precedent.
One half of the cash consideration will be payable at the completion of the transaction, with the balance being payable in six equal installments over a six-month period, the first of which was due one month after completion.
The Eagle Ford, Haynesville and Permian fields comprise about 526 000 net acres where BHP produces oil, gas and natural gas liquids that are sold domestically in the US through connections to intrastate and interstate pipelines and internationally through the export of processed condensate.
In the 2018 financial year these assets produced 58.8-million barrels of oil equivalent.