MUMBAI : Mukesh Ambani controlled Reliance Industries on Thursday said that its wholly owned subsidiary Reliance Marcellus LLC has signed agreements to divest all its interest in certain upstream assets in the Marcellus shale play of south-western Pennsylvania.
As per the agreement, these assets, which are currently operated by various affiliates of EQT Corporation (EQT) will be sold to Northern Oil and Gas Inc (NOG), a Delaware corporation, for a consideration of $250 million cash and warrants that give entitlement to purchase 3.25 million common shares of NOG at an exercise price of $14.00 per common share in next seven years.
A Purchase and Sale Agreement (PSA) has been signed between RMLLC and NOG on February 3, 2021 for this sale.
Citigroup Global Markets, Inc. acted as financial advisor to Reliance and Gibson, Dunn & Crutcher LLP served as its legal counsel.