SandRidge Energy (NYSE:SD) agreed to divest its Gulf of Mexico assets, just two years after former CEO Tom Ward purchased Dynamic Offshore, which gave the company some of the cheapest oil assets in North America, according to Ward.
This sale by new CEO James Bennett shows, once again, how far SandRidge has come since Tom Ward's tenure ended in June of last year. The $750 million in cash being injected into SandRidge will give the company $2 billion in liquidity, allowing the company to add more rigs and increase production in its most profitable play, the Mississippian Lime.
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This segment is from Tuesday's edition of "Digging for Value," in which sector analysts Joel South and Taylor Muckerman discuss energy and materials news with host Alison Southwick. The twice-weekly show can be viewed on Tuesdays and Thursdays. It can also be found on Twitter, along with our extended coverage of the energy and materials sectors @TMFEnergy.
Joel South owns shares of SandRidge Energy. Taylor Muckerman has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.