WPX Energy, Inc. (NYSE:WPX) (“WPX Energy” or the “Company”) announced
today that it intends to form a master limited partnership, or “MLP,” in
the first half of 2014 and to offer to the public common units
representing limited partner units in the MLP, which will hold working
interests in mature, producing natural gas properties located in the
Piceance Basin in Colorado.
The MLP, to be called WPX Energy Partners, L.P., expects to file a
registration statement with the U.S. Securities and Exchange Commission
in early 2014 for an initial public offering of the common units. The
Company expects to initially contribute to the MLP mature, producing
natural gas properties located in the Piceance Basin of Colorado.
Subject to final board approval and favorable market conditions, WPX
Energy expects to sell interests in the MLP in the initial public
offering. Proceeds from the offering are expected to be used to fund
ongoing operations, repay debt under the Company’s revolving credit
facility and for general corporate purposes. Additional details will be
included in the registration statement.
There can be no assurance that an initial public offering of the MLP or
any other transaction will occur. This press release does not constitute
an offer to sell or the solicitation of an offer to buy securities, and
shall not constitute an offer, solicitation or sale in any jurisdiction
in which such offer solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of that
jurisdiction.
About WPX Energy, Inc.
WPX Energy is an exploration and production company focused on
developing its significant oil and gas reserves, particularly in the
Piceance, Williston and Appalachian basins. WPX also has domestic
operations in the San Juan and Powder River basins, as well as a 69
percent interest in Apco Oil and Gas International. Go to http://www.wpxenergy.com/investors.aspx
to join our e-mail list.
Some of the statements included in this press release constitute
“forward-looking statements” (as defined in Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended). Such forward-looking
statements are based on management’s beliefs and assumptions and on
information currently available. You should not put undue
reliance on any forward-looking statements. Forward-looking
statements include all statements that are not historical facts and may
be identified by the use of forward-looking terminology such as the
words “believe,” “expects,” “plan,” “project,” “intend,” “anticipate,”
“estimate,” “predict,” “potential,” “continue,” “may,” “will,” “should”
or the negative of these terms or similar expressions. Forward-looking
statements involve risks, uncertainties and assumptions.
Risks and uncertainties that could cause actual results to differ
materially from those expressed in forward-looking statements include
economic, business, competitive and/or regulatory factors affecting the
Company’s business, as well as uncertainties related to the outcomes of
pending or future litigation, legislation, or regulatory actions. Among
such risks are: changes in timing or structure of the planned
MLP; unanticipated developments that may delay or negatively affect the
planned MLP; regulatory approvals and compliance with contractual
obligations; impact of the planned MLP on the Company’s relationships
with its employees, customers and vendors and the Company’s credit
rating and cost of funds; changes in market conditions; and future
opportunities that the Company’s board of directors may determine
present greater potential value to shareholders than the planned MLP.
No assurance can be given as to the value of the common units of the
planned MLP, the price at which they may trade or whether a liquid
market may develop for such units. Unpredictable or unknown
factors not discussed in this release could also have material adverse
effects on forward-looking statements.
In accordance with the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995, WPX Energy has included in its
filings with the Securities and Exchange Commission cautionary language
identifying important factors (but not necessarily all important
factors) that could cause actual results to differ materially from those
expressed in any forward-looking statement made by WPX Energy. For
more information concerning these factors, see WPX Energy’s Securities
and Exchange Commission filings. All forward-looking statements
included in this press release are expressly qualified in their entirety
by such cautionary statements. WPX Energy does not have any
intention or obligation to update any forward-looking statement (or its
associated cautionary language), whether as a result of new information
or future events, after the date of this press release, except as
required by applicable law.
Copyright Business Wire 2013