ConocoPhillips says it’s wrapped up its sale of its San Juan Basin assets in New Mexico with Hilcorp Energy Company. The firms had previously announced the $3 billion sale.
The sales price includes $2.7 billion in cash and contingent payments of up to $300 million. The contingent payments portion is effective from Jan. 1, 2018 and has a term of six years.
“Completion of the sale of our San Juan Basin assets is a key milestone in the continuing high-grading of our portfolio,” said Ryan Lance, chairman and CEO at ConocoPhillips.
As of June 30, 2017, the net book value of the company’s San Juan Basin assets was nearly $2.5 billion.