Subsequent to June 30th, Range signed a purchase and sale agreement to divest the company's Terryville assets in North Louisiana for gross proceeds of $245 million, with the potential for $90 million in additional proceeds contingent on future commodity prices. At the time of the sale, the assets were producing approximately 160 MMcfe/d, and Range did not have any drilling and completion activity planned for the assets this year. Range will retain certain midstream commitments through their remaining term and intends to use $28.5 million of the sale proceeds to reduce a portion of these commitments.
Pro forma for the Terryville acquisition, Castleton Resources will own over 315,000 net acres of leasehold in East Texas and Northern Louisiana with total daily net production of nearly 500 MMcfe/d. The transaction closed in August 2020 with an effective date of February 1st, 2020. Greenhill acted as an advisor to Castleton.