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Subsequent Events
3 Months Ended
Mar. 31, 2012
Subsequent Events [Abstract]  
Subsequent Events

Note 8. Subsequent Events

 

Sale of Non-Core Assets

 

On April 11, 2012, we announced that we had entered into an agreement and closed on the sale of certain non-operated assets in the Paradox Basin of Utah for $75 million. The sale had an effective date of January 1, 2012 and proceeds received after consideration of preliminary closing adjustments totaled $72.4 million. Preliminary closing adjustments include operating net revenues after January 1, 2012, net of capital expenditures, along with other purchase price adjustments.

 

Amendment to Bank Credit Agreement

 

During April 2012, we entered into an amendment to our Bank Credit Agreement (see Note 3, Long-Term Debt).

 

Pending Acquisition of Thompson Field

 

In April 2012, we entered into an agreement to purchase a nearly 100% working interest and 84.7% net revenue interest in Thompson Field located in southeast Texas for approximately $360 million in cash. Under the agreement, the seller will hold approximately a 5% net revenue interest beginning when average monthly tertiary oil production exceeds 3,000 Bbls/d. Thompson Field is a significant potential tertiary oil flood located approximately 18 miles west of our Hastings Field, our most recent CO2 flood. The acquisition is expected to close in June 2012.