, a Denver-based oil and gas firm, is weighing strategic alternatives, including a potential sale, officials announced Monday.
Magellan (Nasdaq: MPET) formed a special committee consisting of its independent directors and hired as a financial advisor to identify and consider potential “strategic alternatives” such as an asset sale, joint ventures, a recapitalization, and a sale or merger.
The move comes amid Magellan’s implementation of its carbon dioxide-enhanced oil recovery pilot program at the Poplar oil field in Montana.
In 2013, New York-based One Stone Holdings II LP to fund the pilot program.
“The complete development of the field using CO2-EOR is a major project, which will require a significant investment program,” J. Thomas Wilson, Magellan’s president and chief executive officer, said in a .
Magellan officials said the strategic alternatives review is not connected to any courting made by another firm and added that there is no assurance a transaction will occur.
Alicia Wallace: 303-954-1939, awallace@denverpost.com or twitter.com/aliciawallace
