Denver's Bill Barrett Corp. To Sell Some Properties, Pay Debt

NEW YORK (AP) - Bill Barrett Corp. announced several deals on Tuesday that will net it about $568 million in cash and help lower its debt.

The Denver-based oil and gas company said it is selling properties in the Powder River Basin, which is located in Montana and Wyoming, and the Piceance Basin in Colorado. Bill Barrett also said it will acquire some property in the Northeast Wattenberg area in Colorado as part of the deals. The company values the total transactions at $757 million.

Shares of Bill Barrett rose nearly 12 percent in afternoon trading Tuesday.

Some of the properties Bill Barrett is selling will be bought by oil and gas company Vanguard Natural Resources LLC. Houston-based Vanguard said it plans to buy the Piceance Basin assets from Bill Barrett for $525 million. That deal is expected to close by Oct. 1.

Bill Barrett did not name the buyers of its other assets. It said the transactions will help the company cut its debt from $1.1 billion to about $450 million.

Shares of Bill Barrett rose $2.34, or 11 percent, to $23.63 in midday trading Tuesday. Vanguard Natural shares added 32 cents to $29.38.