CALGARY, Alberta, Oct. 17, 2019 (GLOBE NEWSWIRE) — Painted Pony Energy Ltd. (“Painted Pony” or the “Corporation“) (TSX: PONY) is pleased to announce that it has entered into a definitive agreement to sell a 75% working interest in 11,280 gross acres (8,460 net acres) in the north east British Columbia Montney for cash consideration of $45 million. The proposed transaction is expected to close on or about October 31, 2019. The proposed transaction is subject to closing conditions. The acreage outlined in the proposed transaction totals approximately 4% of Painted Pony’s total Montney acreage.
Commenting on the proposed transaction, Patrick Ward, President and CEO of Painted Pony said, “We are very pleased with this sale as it will reduce our balance sheet leverage and improve our financial flexibility without any impact on current production volumes or Proved Developed Producing reserves.”