New York Stock Exchange-listed Pioneer Natural Resources Co Wednesday announced it is seeking to sell its 50.1 percent stake in Eagle Ford Shale Midstream ("EFS Midstream") joint venture with the Mukesh Ambani led Reliance Industries (RIL).
RIL has agreed to consider the divestment of its shareholding Eagle Ford Shale midstream joint venture with partner Pioneer Natural Resources Co, sources familiar with the developments said. RIL's current investment in EFS Midstream LLC is $208 million.
RIL owns a 49.9 percent stake in EFS Midstream LLC acquired in June 2010, while Pioneer is the operator with a 50.1 percent stake in the EFS system, which consists of 10 central gathering plants and 460 miles of pipelines.
The midstream business was set up in 2010 to construct facilities to handle condensate and natural gas from wells in in the EFS system.
Pioneer will redeploy capital from the sale to its oil assets in West Texas, and has no plans to divest its upstream assets in the Eagle Ford Shale, it said in a statement.
