US-based oil and natural gas firm Linn Energy has agreed to sell its shale assets in Texas and Oklahoma for a total of $2.3bn.
The company will sell its entire stakes in the Granite Wash and Cleveland plays in the Texas panhandle and western Oklahoma to private affiliates of EnerVest for $1.95bn.
The properties include about 145,000 net acres, 195 MMcfe/d of current production, 755 Bcfe of year-end 2013 proved reserves and associated midstream plants.
Linn, which is running a four-rig drilling programme, has planned to invest about $210m on the assets in 2014.
In a separate transaction, Linn Energy has agreed to sell its positions in the Permian Basin to Fleur de Lis Energy $350m.
The Permian Basin properties include around 7,200 net acres, 4.6 MBoe/d of current production and 19 MMBoe of year-end 2013 proved reserves.
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By GlobalDataLinn is undertaking a two-rig vertical drilling program and has proposed to invest about 95m on the assets in 2014.
Upon completion of the transaction, Linn will have remaining production of about 8 MBoe/d and around 6,600 net acres in the Midland Basin that is prospective for horizontal Wolfcamp drilling.
Both the transactions are expected to be completed in the fourth quarter of 2014.
Linn Energy chairman, president and chief executive officer Mark Ellis said: "One of our goals for 2014 was to maximize value for our Midland Basin and Granite Wash assets in order to reduce the capital intensity and decline rate within our portfolio. We believe today’s announcements largely accomplish this goal.
"When considered in light of the accretive acquisitions and trades we’ve announced this year, we are very excited about our business as we move into 2015."
