Oil and gas exploration and development company Delta Petroleum Corp. said Monday it will sell a 35 percent stake in the company to Kerk Kerkorian's Tracinda Corp. for $684 million, helping Delta speed development drilling activities in the Piceance and Paradox Basins.

The $19-per-share purchase price represents a 23 percent premium to Delta's closing stock price on Friday.

Delta said the deal will provide significant financial flexibility to fund its long-term drilling programs and allow for more acquisitions. The company's board unanimously approved the transaction, under which Tracinda will purchase 36 million shares.

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