Magnum Hunter Resources (MHR) is a company in trouble. We won’t recount all of the signs (read our MHR articles here). One of the silver bullets that was supposed to help pull MHR’s bacon out of the fire was the sale of their midstream/pipeline subsidiary Eureka Hunter. On August 14 MHR CEO Gary Evans announced…
Valuing an oil and gas or midstream/pipeline company is probably as much art as it is science. In any real estate or land or business valuation, in fact in any kind of transaction where something is bought and sold, something is worth as much as someone is willing to pay for it. But we all…
Something we’ve noticed for some time: When Magnum Hunter Resources (MHR) and its subsidiaries (like GreenHunter and Eureka Hunter) make a pronouncement like “such and such will be online next month” or “so and so asset will be sold this quarter” the timing rarely matches the pronouncement. For Magnum Hunter “the next few weeks” turns…
Finally we know. In June Magnum Hunter Resources (MHR), majority owner of subsidiary pipeline company Eureka Hunter, said it was negotiating to sell all of its ownership of Eureka Hunter to an unnamed buyer for $600-$700 million (see Magnum Hunter Cuts Deal to Sell Eureka Hunter & 2 New JVs). Two weeks ago Magnum Hunter…
Magnum Hunter Resources (MHR) released their second quarter 2015 update today, with plenty of information. MHR reports oil and gas production year over year in the second quarter was up 20%. But because of the price collapse over the past 12 months, MHR’s revenue for that production decreased 60% year over year. One of the…
Apparently looking to pump up the value and sex appeal of one of its major assets, this morning Magnum Hunter Resources (MHR) issued a press release about its pipeline subsidiary Eureka Hunter calling attention to the news that the midstream operation has increased its throughput to an average of 700 million cubic feet of natural…
On Monday, MDN told you that Magnum Hunter Resources (MHR) was having trouble scraping together $9.4 million to meet liquidity demands by creditors (see Magnum Hunter’s Bankers Say Get $65M in Cash by July 10, Or Else). Today we report that one of MHR’s major investors has sold off millions of shares of the company’s…
Every few months Eureka Hunter, the midstream subsidiary of Magnum Hunter Resources, issues a press release to update investors on their progress toward filling their WV/OH pipeline system with natural gas. Eventually they hope to flow 1 billion cubic feet per day through the system. Last September Eureka reported they were up to an average…
Magnum Hunter announced yesterday that its pipeline/midstream subsidiary Eureka Hunter has set a new record. Eureka pumped more than 400,000 million Btus per day (MMBtu/d) in West Virginia and Ohio by the end of December, and they expect to be pumping more than 500K MMBtus by the end of this month. A half million MMBtus…
Yesterday Magnum Hunter, a Marcellus/Utica driller with a number of subsidiaries, including midstream company Eureka Hunter, announced that Morgan Stanley is becoming a partner in Eureka Hunter. Price tag for becoming a partner? $65 million. According to Magnum Hunter and Morgan Stanley, Eureka Hunter is now worth $1 billion. The deal itself is complicated and…
Eureka Hunter Pipeline, a subsidiary of Magnum Hunter, is a small but growing midstream company with most of its operations in West Virginia (see these MDN articles about Eureka Hunter and their recent expansion). Apparently they plan to keep on growing. Today Eureka Hunter announced they’ve got a new line of credit at the bank–for…
Eureka Hunter, the wholly-owned midstream (pipeline) subsidiary of driller Magnum Hunter, published their month by month flow numbers yesterday for how much gas they pumped through their pipelines in West Virginia and Ohio during 2013. It was an impressive year for Eureka Hunter. The average daily flow or “throughput” in 2012 was 23,291 million Btus…
Magnum Hunter subsidiary Eureka Hunter announced yesterday they are buying TransTex Gas Services, a natural gas treatment company based in Houston, TX for $58.5 million. One of Eureka Hunter’s objectives in purchasing the company is to grow the TransTex business in the Marcellus and Utica Shale. From the Magnum Hunter press release:
We love to connect the dots and reveal information (news) that others miss. Sometimes we get it wrong–but more often we get it right. Here’s another connect-the-dots story. Yesterday we brought you the news that a huge South Korean conglomerate, SK Group, had purchased itself a $100 million slice of ownership in Marcellus/Utica midstream company…
Pipeline company Eureka Midstream was once a subsidiary of Magnum Hunter Resources. Magnum Hunter spun Eureka out into a standalone company prior to Magnum going through bankruptcy. Last October Eureka acknowledged the former Magnum Hunter no longer owned any of it (see Eureka Midstream Confirms MDN Article on New Ownership). Morgan Stanley is now a…
In late September MDN connected the dots and was the first to tell you that Blue Ridge Mountain Resources, the renamed Magnum Hunter Resources, had sold its ownership stake in Eureka Midstream (formerly Eureka Resources) to South Korean conglomerate SK Group (see Former Magnum Hunter Sells Remaining Stake in Eureka Midstream). Eureka Midstream was once…