LINN Energy To Sell Assets Worth $2.3 Bln - Quick Facts

(RTTNews) - Linn Energy, LLC (LINE) and LinnCo, LLC (LNCO) on Friday said LINN will sell its entire position in the Granite Wash and Cleveland plays to privately held institutional affiliates of EnerVest, Ltd., for $1.95 billion. In addition, the company also said it will sell its Wolfberry positions in the Permian Basin to Fleur de Lis Energy, LLC for a contract price of $350 million.

The company intends to use the sale proceeds to finance its $2.3 billion acquisition of assets from Devon Energy Corp., which closed in August. Both these sales are expected to be tax efficient upon successful completion of a reverse 1031 like-kind exchange.

The Granite Wash and Cleveland properties consists of nearly 145,000 net acres, 195 MMcfe/d of current production, 755 Bcfe of year-end 2013 proved reserves and related midstream facilities. LINN has planned to spend about $210 million of capital on these assets in 2014.

The Permian Basin properties include nearly 7,200 net acres, 4.6 MBoe/d of current production and 19 MMBoe of year-end 2013 proved reserves and LINN has plans of investing nearly $95 million of capital on these assets in 2014.