Resaca Exploitation Inc. (AIM: RSOX) updated certain corporate matters.
Resaca's board of directors has determined the best course of action for the company is the sale of its Cooper Jal unit and Langlie Jal unit located within the prolific southeastern New Mexico portion of the Permian Basin. The company has engaged Albrecht & Associates Inc. to market the sale of these properties.
Sales proceeds from a disposition of Cooper Jal and Langlie Jal would be used to reduce indebtedness, bring the company's credit facilities into compliance, and provide liquidity for capital expenditures on the company's remaining properties or potential acquisitions.
The company anticipates a closing on the sale of these properties by 31 December 2012.