Cook Inlet Energy LLC is acquiring the southern Kenai Peninsula North Fork gas field from Armstrong Cook Inlet LLC and other working interest owners.
The announcement came this morning from Miller Energy Resources Inc. Cook Inlet Energy is a wholly owned subsidiary of Miller Energy.
Miller Energy said Cook Inlet Energy has a definitive agreement with Armstrong Cook Inlet to purchase the North Fork unit and all affiliated assets for $59.975 million in cash and $5 million in Miller’s Series D preferred stock.
The transaction is expected to close in the first quarter of 2014, subject to governmental and regulatory approvals.
The sale includes six natural gas wells, 15,464 acres and production and processing equipment, as well as Anchor Point Energy LLC, the owner and operator of nine miles of twin 4-inch natural gas transmission pipelines and a multiyear natural gas sales contract.
Miller Energy said acquisition of Anchor Point Energy is dependent on receipt of regulatory approvals and is expected to occur after the closing on the North Fork unit.
See story in Dec. 1 issue, available online Wednesday, Nov. 27 at www.PetroleumNews.com