Centennial Resource Development, an independent oil and natural-gas company focused on the development of oil and associated liquids-rich natural gas reserves in the Permian Basin, has sold its noncore assets to affiliates of Henry Resources and Pickering Energy Partners for $101 million.
The properties sold include 6,200 net-leasehold acres and related assets located in Reeves County, Texas.
“We are pleased to have closed this transaction and plan to utilize the proceeds to reduce borrowings on the company’s revolver,” said Sean Smith, CEO of Centennial. “This divestiture enhances our financial flexibility as we head into next year.”
Centennial’s assets and operations, which are held and conducted through Centennial Resource Production, are concentrated in the Delaware Basin, a sub-basin of the Permian Basin.