Subsequent Events

6 Months Ended

Jun. 30, 2018

11. SUBSEQUENT EVENTS:

The Company has evaluated the period subsequent to June 30, 2018 for events that did not exist at the balance sheet date but arose after that date and determined that no subsequent events arose that should be disclosed in order to keep the financial statements from being misleading, except as set forth below:

•

On July 27, 2018, UPL Three Rivers Holdings, LLC, a subsidiary of the Company entered into a Purchase and Sale Agreement with an unnamed third party. Under the agreement, the Company agreed to sell all of its Utah assets to the third party for cash consideration of $75.0 million, subject to customary closing adjustments. The agreement contains representations and warranties, covenants and indemnification provisions that are typical for this type of transaction. The effective date of the proposed sale is May 1, 2018, and the transaction is expected to close during the third quarter of 2018. The closing is subject to satisfaction or waiver of specified conditions, including the material accuracy of the representations and warranties of the Company and the third party. There can be no assurance that these closing conditions will be satisfied. During the fiscal quarter ended June 30, 2018, the Company’s Utah assets produced approximately 2,000 barrels of oil equivalent per day.