Helix Energy Solutions Enters Definitive Agreement to Sell Oil and Gas Subsidiary - Shares Down 2%

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Helix Energy Solutions Group, Inc. ( HLX ) has entered into a definitive agreement to sell its oil and gas subsidiary, Energy Resource Technology (ERT, to Talos Production LLC.

The selling price involves a base purchase price of $610 million plus overriding royalty interests on ERT's Wang exploration prospect as well as certain other exploration prospects.

In addition, the parties have agreed to adjust the purchase price at closing, upward or downward, depending upon the results of the Wang exploration well. The estimated value of the transaction is approximately $700 million if the Wang exploration prospect is successful and meets expectations. If the Wang exploration prospect is determined to be unsuccessful, the estimated value of the transaction to Helix is closer to $600 million.

HLX shares were halted ahead of the news, they have since resumed trading and are down 2.4% to $18.50 amid a 52-week range of $14.61 - $21.09.



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

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This article appears in: Investing , Commodities

Referenced Stocks: HLX

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