Denbury Resources to Acquire Interest in Salt Creek Field

Denbury Resources, an independent oil and natural gas company, said Tuesday that it has entered into a definitive agreement with certain subsidiaries of Linn Energy, Inc. (LINE) to acquire their 23% non-operated working interest in Salt Creek Field in Wyoming for $71.5 million.

The acquisition is expected to close in late June and is subject to satisfactory completion of due diligence reviews and customary closing conditions. The purchase price is subject to standard purchase price adjustments for revenues and costs between the March 1 effective date and the closing date of the transaction.

The company said it plans to initially fund the acquisition with its bank line, but anticipates this cost would ultimately be offset through the sale of non-productive surface acreage ideally suited for commercial development in the Houston area, which Denbury is currently preparing to market.

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