Fieldwood Energy LLC announced the acquisition of entities comprising SandRidge Energy, Inc.'s Gulf of Mexico and Gulf Coast business unit for $750 million, based on an effective date of December 1, 2013 and subject to customary purchase price adjustments. As part of the transaction, SandRidge will retain a 2.0% overriding royalty interest in two identified exploration prospects.
According to a Netherland, Sewell & Associates reserve report as of December 1, 2013, total proved reserves attributable to the acquired entities' assets were 57.2 Mmboe, of which 51% is oil and 72% is developed. Additionally, probable reserves were 11.4 Mmboe and possible reserves were 9.0 Mmboe, resulting in total 3P reserves of 77.5 Mmboe. Current daily production exceeds 25,000 boe and is approximately 90% Company operated.