LONDON, UK: Diversified Energy Company PLC (LSE:DEC), a leading producer of natural gas in the US, has announced the sale of some of its undeveloped land in Oklahoma to an unnamed buyer for about $16 million.

The deal involves around 22,000 acres of land in the Central Region, where Diversified has a large presence. The company said the sale was part of its strategy to focus on its core operated properties with proven reserves and cash flow, and to unlock additional value from its portfolio by selling non-core and undeveloped assets.

The sale proceeds will boost Diversified’s liquidity and enable it to pursue other opportunities to grow its business and generate free cash flow for shareholders. The company added that it did not assign any value to the land when it acquired it in previous transactions, so the sale represents a pure gain for the company.

Rusty Hutson, Jr., the CEO of Diversified, said: “Once again, our teams delivered in their commitment to enhance the value from recent Central Region acquisitions, significantly reducing our net purchase price by successfully monetizing another portion of undeveloped leasehold. This Transaction exemplifies our strategy of efficiently managing our producing assets while extracting upside from other portions of our asset portfolio. The sale proceeds enhance our liquidity as we evaluate other value-accretive opportunities to generate additional free cash flow. We remain focused on delivering operational and administrative synergies, stewarding our assets, and executing our Smarter Asset Management programmes.”

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