Penn West Petroleum To Sell Mitsue Properties For C$192.5 Mln - Quick Facts

(RTTNews) - Penn West Petroleum Ltd. (PWE, PWT.TO) said that it has entered into a definitive agreement for the sale of its properties in the Greater Mitsue area of Central Alberta for cash consideration of C$192.5 million, subject to closing adjustments customary in transactions of this nature.

The company noted that it plans to use the proceeds from this disposition to reduce its senior debt. Upon the completion of the sale of its Mitsue properties, it will have raised approximately C$605 million in total proceeds this year through its non-core asset disposition program.

In addition, since the end of the second-quarter of 2013, the company will have divested an estimated 34,000 boe/d of non-core assets for proceeds of approximately C$1.7 billion, which has allowed the company to reduce its debt by approximately C$1.4 billion, representing a reduction of more than 40%.