Stone Energy secures approval of $527 million Appalachia assets sale

By Caroline Salls

Pittsburgh, Feb. 10 – Stone Energy Corp. obtained court approval to sell its Appalachian basin assets to EQT Production Co. for $527 million, according to an order filed Friday with the U.S. Bankruptcy Court for the Southern District of Texas.

The purchase price is subject to customary adjustments, including an upward adjustment to the purchase price of up to $16 million.

Stone Energy said the prevailing bid represents a roughly 46% increase in the purchase price over the $360 million stalking horse bid submitted by Tug Hill, Inc. affiliate TH Exploration III, LLC.

American Petroleum Partners Operating, LLC was designated the back-up bidder, with an offer of $526 million.

Stone Energy is a Lafayette, La., oil and gas exploration and production company. The company filed bankruptcy on Dec. 14 under Chapter 11 case number 16-36390.

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