Penn West Petroleum Ltd. has entered into a definitive agreement for the sale of its properties in the Greater Mitsue area of Central Alberta for cash consideration of $192.5 million, subject to closing adjustments customary in transactions of this nature.

We intend to use the proceeds from this disposition to reduce our senior debt. Upon the completion of the sale of our Mitsue properties, we will have raised approximately $605 million in total proceeds this year through our non-core asset disposition program.

In addition, since the end of Q2 2013, we will have divested an estimated 34,000 boe/d of non-core assets for proceeds of approximately $1.7 billion, which has allowed us to reduce our debt by approximately $1.4 billion, representing a reduction of more than 40%.

Tags: Penn West Petroleum Ltd.