Gary Evans, CEO of Magnum Hunter Resources (MHR), has apparently found his way back to the drillbit after being squeezed by liquidity concerns since commodity prices faltered.

Evans told an audience at Hart Energy’s DUG East conference that he had received an unsolicited bid from an MLP for Magnum Hunter subsidiary Eureka Hunter Pipeline that was too good to pass up. Magnum Hunter said in a June 25 securities filing that in current market conditions the sale could generate up to $700 million in gross cash proceeds.

Magnum Hunter had planned to sell a sliver of its interest in Eureka but will now sell the entirety of its equity stake in the company—about 45.53% of the company. Previously, Magnum was exploring the sale of about 5% of Eureka for about $50 million. Morgan Stanley Infrastructure Partners owns 53% of Eureka.

“This potential transaction would allow Magnum Hunter to restructure its balance sheet and dramatically improve its current liquidity position,” the company said.

Magnum Hunter has a July 10 deadline to raise the last $9.4 million of a $65 million minimal capital raise commitment due under its bank facility. The company reported $940.8 million in long-term debt at the end of first quarter of 2015 and $100 million in redeemable preferred stock, according to a note by Baird Energy.

Evans said he received multiple bids for interests in the pipeline and could have a formal announcement as within the next two weeks. The proceeds will allow the company to resume drilling in the Utica.

Eureka is a coveted pipeline that focuses on natural gas assets based in the heart of the Marcellus and Utica shale plays.

In September 2014, Magnum Hunter valued the pipeline, based on a transaction, at $1 billion.

The line has about 175 miles of gas gathering system in Ohio and West Virginia that moves 400,000 million British thermal units per day (MMBtu/d) with seven existing interconnects. In June, recent peak throughput rates were about 639,052 MMBtu/d, an average quarterly increase of 31% over the last two years.

The pipeline has continued to grow in recent years, adding 300 million cubic feet per day (MMcf/d) in 2013, 2 Bcf/d in 2014 and an estimated 2.3 Bcf/d in 2015.

Eureka’s goal is to continue cutting cost per mile of installation by 10% while maintaining the same level of quality.

Eureka has 10 current customers and another five potential customers, Evans said in his DUG East presentation.

Magnum Hunter estimates that dry Utica gas will make up 40% of volumes on the line in 2015 and Marcellus wet gas will make up 60% of the remaining volumes.

Magnum Hunter has been trying to find its financial foot for several months.

At the end of March, Magnum Hunter had roughly $20 million in liquidity, consisting of $14.4 million in cash and $5.7 million in revolving credit. In May, the company sold a small portion of undeveloped leasehold in Tyler County, W.V., for proceeds of $33.6 million in cash to Antero Resources Corp. (AR).

After adjustments and remediation of title defects, the price could rise to as much as $40 million by July 15.

Magnum Hunter previously completed $22 million in capital raising transactions.

Contact the author, Darren Barbee, at dbarbee@hartenergy.com.