Transaction Details: 

Halcon is selling its operated Williston Basin assets to an affiliate of Bruin E&P Partners, a portfolio company of Arclight Capital Partners, for $1.4 billion in cash. In this sale, Halcon is selling off 76% of its total production.

In a call with analysts, Halcon's CEO Floyd Wilson indicated it was open to an outright sale of the company. Halcon seems to be following a trajectory similar to Clayton Williams, who was acquired by Noble Energy. In the short term, however, Halcon plans to add another rig in its Permian assets by year-end.

Current production associated with the assets being sold is approximately 29,000 boe/d, net. According to Halcon's most recent presentation, the company holds ~103,700 net operated acres in the Williston. The asset is 100% HBP.

While Halcon has successfully found a buyer for these assets, SM Energy attempted to sell its Bakken position earlier this year, but pulled the listing after not finding a buyer.

It is important to note that the sale is contingent upon the approval of at least 50% of Halcon's senior note holders (6.75% unsecured notes due 2025).

Williston Basin Deal Activity In Last 12 Months