SandRidge Energy, Inc. Announces Closing of Wolfberry Asset Sale for $155 Million

SandRidge Energy, Inc. today announced that it has closed the sale of its Wolfberry assets in the Permian Basin to a private party for cash proceeds of $155 million. The divested properties are producing approximately 1,600 Boe/d and had estimated proved reserves of 2.37 MMBoe at December 31, 2009. The proceeds will be used to pay down outstanding borrowings under the company's credit facility.
Tom Ward, Chairman and CEO, stated, "This transaction is another step in SandRidge's stated plan to raise capital by divesting of non-core assets and monetizing our Horizontal Mississippian acreage in the Mid-Continent. When combined with the $110 million realized from our Bone Spring acreage sale, and the expected proceeds from the royalty trust offering announced yesterday, we expect to have raised between $500 and $550 million, well on the way to our target of $600 to $800 million in additional capital by the end of this year."
Source: Press release