Market Overview

Equal Energy Announces Asset Sale

Equal Energy (NYSE: EQU) announces that it has entered
into a definitive agreement to sell several of its Canadian properties for a total cash consideration of $17.4
million, subject to customary adjustments typical of transactions of
this type.  The Asset Disposition includes Equal's interests in the
Halkirk, Wainwright, Alliance and Clair areas of Alberta.  The Asset
Disposition excludes Equal's Cardium assets in the Lochend area and
certain royalty interests.  The Asset Disposition is anticipated to be
completed on October 12, 2012 and has an effective date of July 1,
2012.

The Asset Disposition is the second step in Equal's ongoing strategic
review process.  Equal's management and Special Committee of the Board
of Directors continue to review opportunities with the Company's
portfolio which now consists primarily of the Cardium oil play in the
Lochend area of Alberta, certain royalty interests in Canada and the
liquids rich natural gas asset in Central Oklahoma.

The Company has determined that these Asset Disposition properties
provide the least attractive future returns among its portfolio of
properties. Drilling prospects on these properties cannot economically
compete for capital that is limited annually

See full press release

Posted-In: News Guidance Asset Sales Management Global

 

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