Canada's Crescent Point Energy to sell North Dakota assets for $500 mln

Aug 24 (Reuters) - Crescent Point Energy said on Thursday it will sell its North Dakota assets to a private operator for $500 million in cash, as the Canadian oil and gas producer looks to repay its debt.

The Calgary, Alberta-based company said that its net debt is expected to be less than C$2.2 billion ($1.62 billion) by the end of this year, down from C$3 billion outstanding at the end of the second quarter.

"Given the limited drilling inventory associated with these assets, production in North Dakota was expected to decrease to 18,000 boe/d by 2027 and decline further in future years," Crescent Point said in a statement.

Since 2018, the company has acquired assets in Canada's basins, Kaybob Duvernay and Alberta Montney, for C$3 billion that were primarily funded through the sale of non-core assets worth nearly C$2.7 billion.

The company also lowered its full-year production and capital expenditure forecast by 2.8% and 8.1%, respectively, compared to the mid-point of its prior expectations.

The deal is expected to close in the fourth quarter, Crescent said.

($1 = 1.3563 Canadian dollars) (Reporting by Tanay Dhumal in Bengaluru; Editing by Shweta Agarwal)