FORT WORTH, Texas, Oct. 12, 2022 /PRNewswire/ -- PHX Minerals Inc.,
(NYSE: PHX), today announced that it has closed on the previously
announced sale of all its remaining legacy non-operated working
interest wellbores in the Fayetteville Shale play in Arkansas to an undisclosed buyer for a total
of $6,050,000. This divestiture
represents 210 gross legacy wellbores and removes approximately
$212,000 in asset retirement
obligation from the Company's balance sheet. On a pro forma basis,
PHX has 789 gross legacy non-operated working interest wellbores
remaining.
Additionally, PHX completed the acquisition of approximately 575
net royalty acres located primarily in Caddo and DeSoto Parishes, Louisiana, for $6,226,489. These acquisitions are predominately
located in the same focus area of the Haynesville Shale as the
Company's previously closed royalty acreage acquisitions where
drilling activity continues to accelerate. The new royalty acreage
acquisitions represent a full redeployment of net proceeds received
by the Company for the working interest divestiture.
Chad Stephens, President and CEO,
said, "These transactions are a continuation of our strategy to
high grade PHX's asset base by divesting legacy non-operated
working interest wellbores and reinvesting the proceeds in higher
margin royalty minerals in our core areas of focus.
"Also, we anticipate the core focus areas in which we are
acquiring minerals to be the leading basins in U.S. natural gas
production growth over the next several years. Reputable,
well-capitalized operators are actively developing these areas. As
such, we expect royalty volumes to continue to increase from the
development of acquired minerals in future quarters, which will
drive higher future cash flows."
PHX Minerals Inc. (NYSE: PHX) Fort
Worth-based, PHX Minerals Inc. is a natural gas and oil mineral
company with a strategy to proactively grow its mineral position in
its core areas of focus. PHX owns mineral acreage principally
located in Oklahoma, Texas, Louisiana, North
Dakota and Arkansas. Additional information on the
Company can be found at www.phxmin.com.
View original
content:https://www.prnewswire.com/news-releases/phx-minerals-announces-closing-of-previously-announced-working-interest-divestiture-and-additional-mineral-acquisitions-301647575.html
SOURCE PHX MINERALS INC.