Pioneer sells Canadian properties

Pioneer Natural Resources Co. said April 28 its Canadian unit agreed to sell the Martin Creek, Conroy Black and Lookout Butte oil and gas properties to Ketch Resources Ltd. for proceeds of about $207 million.

The transaction is expected to close by May 31, subject to normal closing conditions.

Pioneer announced that it was initiating a process to divest these three non-strategic Canadian properties late last year. The properties’ net proved reserves are estimated to be about 9 million barrels of oil equivalent and current net production is averaging about 3,000 BOE per day.

Tristone Capital acted as financial adviser for this transaction with TD Securities as lead strategic adviser and Scotia Capital as strategic adviser.

Pioneer is retaining its core areas in Canada, the Chinchaga natural gas and the Horseshoe Canyon coalbed gas fields, where it has an extensive inventory of drilling locations. During the summer drilling season, Pioneer plans to drill up to 100 wells to assess the potential of its extensive Horseshoe Canyon coalbed acreage position.

Pioneer Natural shares fell $1.04, or 2.4 percent, to $41.58 in morning trading on the New York Stock Exchange on April 28.

— The Associated Press