Amplify Energy stock rises after sale of Eagle Ford assets to Murphy

Published 01/07/2025, 22:38
© Reuters

Investing.com -- Amplify Energy Corp (NYSE:AMPY) stock rose 1.8% after the company announced it has entered into a definitive agreement to sell its non-operated Eagle Ford assets to Murphy Exploration & Production Company -- USA for $23 million.

The transaction, which closed on July 1, 2025, with an effective date of June 15, 2025, is part of Amplify’s strategy to streamline operations and strengthen its financial position. The company plans to use the proceeds to reduce debt and enhance liquidity.

With an improved balance sheet following the sale, Amplify is considering reinstating previously deferred high-return development wells at its Beta field in 2025. The company had announced the deferral of these projects in May.

"The sale of our non-operated Eagle Ford assets is an important step forward in the transformation of Amplify Energy to a more streamlined and focused enterprise," said Martyn Willsher, Amplify’s President and CEO. "We believe monetizing proved reserves and reinvesting those proceeds in high-return development wells at Beta will be value enhancing to our shareholders."

Amplify plans to provide updated full-year 2025 guidance when it reports its second quarter operating and financial results. The company indicated it will continue seeking opportunities aligned with its strategic objectives of debt reduction and accelerated development of its Beta assets.

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