Swift Energy Co. has signed a purchase and sales agreement with a private oil and gas company to sell its interests in six fields in South Louisiana, two in Texas, and one in Alabama for about $53.5 million. Swift will use net proceeds from this transaction to fund a portion of its 2011 capital expenditures. Swift considers the assets as noncore to its operations.
Production attributable to the fields being sold averaged 10.6 MMcfd of gas equivalent during this year’s first quarter with aggregate proved reserves of 92.2 bcfe (19% proved developed producing and 65% natural gas) at yearend 2010.
This sale is expected to close within the next 60 days, with an effective date of Aug. 1. The total acquisition sale price is subject to post-closing adjustments.