HOUSTON, July 08, 2020 (GLOBE NEWSWIRE) -- Harvest Oil & Gas Corp. (OTCQX: HRST) announced today that a wholly-owned subsidiary has entered into a definitive agreement to sell its Appalachian Basin assets, which will represent substantially all of the assets of the Company, to an unaffiliated third party for consideration of $20.5 million, subject to customary purchase price adjustments. The consideration consists of $14.5 million of cash and a $6 million note. The transaction is expected to close in August 2020 and has an effective date of July 1, 2020. The holders of a majority of the common stock of the Company have approved the transaction. The definitive agreement contains various representations, warranties, covenants and indemnification obligations of the Company and the Buyer that are customary in transactions of this type. There can be no assurance that these closing conditions will be satisfied.

The Company intends to evaluate the process of winding-up and of returning capital to its shareholders in the event this sale and other contemplated asset divestitures are completed. This evaluation will be dependent upon an analysis of the net cash available for distribution to its stockholders and the amount of net cash that must be retained to satisfy the Company’s ongoing liabilities during the winding-up process.

About Harvest Oil & Gas Corp.

Harvest is an independent oil and gas company engaged in the efficient operation and development of onshore oil and gas properties in the continental United States. The Company’s assets consist primarily of producing and non-producing properties in the Appalachian Basin (which includes the Utica Shale) and Michigan. More information about Harvest is available on the internet at https://www.hvstog.com.