The parties will focus their efforts on completing the pending acquisition by Continental of the natural gas business of PNM Resources’ subsidiary, PNM.
In order to retain the Cap Rock business, the sale of which was always dependent on the closing of the PNM gas sale, Continental has agreed as part of the termination negotiations to pay PNM Resources $15 million, but only upon the closing of the PNM gas sale.
Jeff Sterba, chairman, president and CEO of PNM Resources, said: The sale of the PNM gas operations remains on track, and we can now focus our complete attention on obtaining the New Mexico regulatory approval for that transaction.
