Energen's CBM sale should ramp Permian drilling

摘要

Energen Corp. (NYSE: EGN) has agreed to sell its Black Warrior Basin coalbed methane assets in Alabama to an undisclosed buyer for $160 million, a valuation in line with analyst expectations of $ 150- to $200 million. The deal should allow EGN to accelerate activity in its high-rate-of-return horizontal projects in the Permian Basin, said Gabriele Sorbara, an analyst for Topeka Capital Markets.