Mesquite Energy Pauses Planned Asset Sales Amid Contract Dispute

Mesquite Energy Inc., formerly known as Sanchez Energy, is putting planned asset sales on ice as it seeks to tackle certain midstream contract disputes, according to people with knowledge of the situation.

The oil and gas producer began marketing its Catarina Ranch assets last month with help of investment bank Jefferies Financial Group Inc., said the people, who asked not to be identified discussing a confidential matter.

Those assets span 52,000 net acres in Texas’s Eagle Ford shale region, producing the equivalent of roughly 18,000 barrels of oil a day from 428 wells, the people said. As ...