Rex Energy Corp (Nasdaq:REXX) announced it is selling some of its acreage in the Marcellus shale to Sumitomo Corp. of Japan.
Shares of the energy company soared on the news, finishing Tuesday's trading session at $11.31, gaining $1.05, or 10.23 percent.
Terms of the deal are $140.4 million, with $88.4 million in cash at the close of the deal, and another $52 million in the form of a drilling carry.
The assets sold include 12,900 acres in the Marcellus Shale in Pennsylvania, a number of shale wells already in production, and other mid-stream assets.
Concerns have also been allayed over the shortfall of its capital expenditures, which now stands at $130.7 million.
Showing posts with label Sumitomo Corp. Show all posts
Showing posts with label Sumitomo Corp. Show all posts
Wednesday, September 1, 2010
Thursday, August 26, 2010
Newmont (NYSE:NEM) Claims Indonesian Company Lied Regarding Divestiture
Newmont Mining Corp (NYSE:NEM) lashed back at an Indonesian company, saying 'PT Pukuafu Indah' (PTPI) lied in reference to Newmont divesting of a company in Indonesia which operates one of their mines.
Blake Rhodes, Newmont's vice president and deputy general counsel, said this in a press release, "Certain of PTPI's public assertions - including that PTPI paid Newmont for some or all of the divestiture shares - are patently false as Newmont did not receive any such payments."
The company in question is PT Newmont Nusa Tenggara (PTNNT), which is a joint venture between Japan's Sumitomo Corp and Newmont.
What it battle is over is the right to acquire shares which Newmont had divested of in PTNNT. Under Indonesian law the requirement is to sell it to another Indonesian company.
"PTPI has long wished to have a right to acquire the divestiture shares," Rhodes added. "The Indonesian government, however, has an explicit right of first refusal under the Contract of Work. PTPI's claims are contrary to the government's priority rights."
Newmont is in the middle of selling it last 7 percent stake in PTNNT at this time.
Blake Rhodes, Newmont's vice president and deputy general counsel, said this in a press release, "Certain of PTPI's public assertions - including that PTPI paid Newmont for some or all of the divestiture shares - are patently false as Newmont did not receive any such payments."
The company in question is PT Newmont Nusa Tenggara (PTNNT), which is a joint venture between Japan's Sumitomo Corp and Newmont.
What it battle is over is the right to acquire shares which Newmont had divested of in PTNNT. Under Indonesian law the requirement is to sell it to another Indonesian company.
"PTPI has long wished to have a right to acquire the divestiture shares," Rhodes added. "The Indonesian government, however, has an explicit right of first refusal under the Contract of Work. PTPI's claims are contrary to the government's priority rights."
Newmont is in the middle of selling it last 7 percent stake in PTNNT at this time.
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