FORT ST. JOHN, B.C. – Calgary-based Painted Pony Energy Ltd. has announced that it has entered into a definitive agreement to sell a 75 percent working interest in 11,280 gross acres in the Northeast B.C. Montney for cash consideration of $45 million.
According to Painted Pony, the proposed transaction is expected to close by October 31, 2019.
The acreage outlined in the proposed transaction totals approximately 4 percent of Painted Pony’s total Montney acreage.
President and CEO of Painted Pony, Patrick Ward, says the sale will reduce the company’s balance sheet leverage and improve the financial flexibility without any impact on current production volumes or Proved Developed Producing reserves.
Painted Pony is focused on the development of natural gas and natural gas liquids from the Montney formation in Northeast B.C.