Canada's Penn West Petroleum to sell assets worth$1.32 billion to repay part debt

Canada's Penn West Petroleum Ltd today said that it has agreed in principle to sell some non-core properties for around C$1.3 billion ($1.32 billion) in order to repay part debt.

Calgary, Alberta-based Penn West, one of Canada's largest conventional oil and natural gas producers, said that has agreements in principle to dispose of approximately $1.3 billion of its non-core properties, with combined production of approximately 12,000 barrels of oil equivalent per day.

Penn West did not identify the assets to be sold, or the buyers, but said it expects the sales to close before the end of the year.

The Toronto Stock Exchange-listed company explores and produces oil and natural gas resources. It operates in large light and medium oil pools, an extensive in-situ oil sands project under early stages of development and a large inventory of enhanced oil recovery opportunities.

Its portfolio of explorations includes natural gas and liquids include ethane, propane and butane, crude oil and light oil throughout western Canada on a land base encompassing over six million acres.

It posted net profit of $638 million in 2011 on revenues of $3 billion.