Chord Energy said one of its subsidiaries entered a deal with Posco International, selling certain non-core assets for $550 million.

The company said Wednesday it will divest its non-operated Marcellus position, which consists of about 32,000 net acres and reported trailing 12-month production of roughly 121 million standard cubic feet per day.

Volumes consist of 100% residue gas, with no natural gas liquids, Chord added.

Under the deal, Chord said it received a $55 million deposit, with the remaining payment due at closing, expected to occur in the fourth quarter.

Chord said it identified its non-operated Marcellus position as a non-core asset following the close of its Enerplus transaction in May 2024.

"Since then, we have benefited from the Marcellus' significant free cash flow generation and are pleased to bring substantial value forward through the divestiture announced today," Chord Chief Executive Danny Brown said.

Brown added that the deal is expected to be highly accretive across several key metrics. Following the divestiture, Chord's portfolio will be focused exclusively on the Williston Basin, located in the upper Midwest of the U.S. and central Canada.