WPX Completes Acquisition of Felix Energy
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WPX Energy (NYSE:WPX) has completed the acquisition of Felix Energy, which has operations in the eastern portion of the Permian’s Delaware Basin.
“I want to thank the Felix team for working with us to complete the transaction a month ahead of schedule while still hitting our expectations for production at the time of closing,” said WPX Chairman and Chief Executive Officer Rick Muncrief.
“We remain absolutely convinced about the accretive nature of the transaction and the outstanding quality of these assets. They overlie a tremendous resource that clearly gives us the means for accelerating our ability to achieve our five-year targets for shareholders,” added Muncrief.
As expected, Felix was producing 60 MBoe/d (70 percent oil) at the close of the transaction. Including these assets, WPX now produces more than 150,000 barrels per day of oil from its operations in the Delaware and Williston basins.
Upon close, an entity controlled by EnCap Investments L.P. – the financial sponsor for Felix – received consideration of approximately 153 million shares of WPX stock and $900 million in cash.
Along with the close, WPX added two representatives from EnCap – D. Martin Philips and Douglas E. Swanson, Jr. – to its board of directors effective immediately.
“We’re excited to add Marty and Doug to our board. Their considerable experience in industry and their private equity backgrounds adds a unique perspective to WPX and how we can further create value as a company,” said Muncrief.
About WPX Energy
WPX is an independent energy producer with core positions in the Permian and Williston basins. The company built its Permian Basin position through acquisitions of RKI Exploration & Production, Panther Energy and Felix Energy, along with the formation of a midstream joint venture with Howard Energy Partners.
To stop by WPX Energy’s website, CLICK HERE
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