The company has signed a letter of intent with an unnamed party for the pipeline.
Finalisation of the sale is still conditional on the parties completing due diligence and completing related transaction agreements.
The deal is expected to be finished up by early March.
Elk recently put its Wyoming assets up for sale, including a 35% stake in the Grieve carbon dioxide – enhanced oil recovery project and it’s 100% stakes in the Grieve oil pipeline, Grieve Niobrara development rights and its wholly-owned Ash Creek field.
