Denver-based American Oil & Gas Inc. said Monday it will sell its interests in three oil and gas leases in Box Elder County to MAB Resources LLC.
The leases cover about 6,400 net mineral acres. American owns a 75 percent interest in the leases and said it expects to realize net proceeds of about $680,000 after deducting sale costs.
Third parties own the remaining 25 percent and also are selling those interests to MAB, which will pay $1.2 million in cash for the leases.
American said it has received 40 percent of its share of the sale price and expects the final closing to occur by Dec. 1. It also will retain an overriding royalty interest.