Rhino Resource Partners Sells Interest in Utica Shale for $10.5 Million

Rhino Resource Partners LP (NYSE:RNO) announced that they have sold their interest in the Utica Shale property for approximately $10.5 million.

As quoted in the press release:

Rhino’s owned Utica Shale property was leased to a third party in March 2012 and the lease agreement stipulated that Rhino retained a 20% royalty based upon the gross proceeds received from the sale of oil and/or natural gas recovered from the leased property.  The Partnership will utilize the proceeds from the sale to reduce debt, which provides further liquidity to Rhino for the development of its new Pennyrile mine in western Kentucky.

Rhino’s President and CEO, Dave Zatezalo, said:

We are pleased that we have been able to complete the sale of this royalty interest since it provides us with additional liquidity for the development of our new Pennyrile mine in the Illinois Basin.

To view the whole press release, click here.