Williams

Energy Services | Williams

Williams Completes Sale of Canadian Assets for $1B
September 27, 2016September 27, 2016

In August, Williams announced a deal to sell its Canadian businesses and assets to Inter Pipeline for $1 billion (see Bold Move – Williams Selling Canadian Assets for $1B). Williams CEO Alan Armstrong has been under extreme pressure to step down following the aborted attempt by Energy Transfer Equity to buy his company. Armstrong wants to stick around and selling off the Canadian assets was his first big, bold move since the palace coup against him failed. Armstrong says the Canadian asset sale will help fund major capital projects in the second half of 2016. Good news: the deal is now done and Williams is $1B richer…
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Accidents | Energy Services | Industrywide Issues | Lycoming County | Pennsylvania | Pipelines | Williams

Cause of Williams Leidy Pipeline Explosion in 2015 was Corrosion
September 23, 2016September 23, 2016

A Williams Transco Leidy pipeline ruptured in Lycoming County, PA in June 2015 (see Williams Transco Leidy Pipeline Ruptures in Lycoming County, PA). There was no fire–and no one was injured–but families within a 3-mile radius were evacuated as a safety precaution. By 11:45 pm they were allowed to return home. Now more than a year later, the U.S. Pipeline and Hazardous Materials Safety Administration (PHMSA) has issued a report finding corrosion was found on the pipeline–but the corrosion was on the outside of the pipeline, not on the inside…
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Coterra Energy (Cabot O&G) | Energy Companies | Energy Services | Industrywide Issues | New York | Pennsylvania | Pipelines | Regulation | Statewide NY | Statewide PA | Williams

PA Gov Wolf Said He May Ask NY Gov Cuomo to OK Constitution Pipe
September 22, 2016September 22, 2016

One of the interesting tidbits to come out of yesterday’s first day of the Shale Insight conference in Pittsburgh was an off-the-cuff remark from Pennsylvania Gov. Tom Wolf’s special assistant for infrastructure, Yesenia Bane, who said that Gov. Wolf is “willing to talk” with New York Gov. Andrew Cuomo to ask him to approve the Williams Constitution Pipeline project in the Empire State. Bane said Wolf has met with Williams and other stakeholders in the Constitution project, and apparently Wolf was impressed enough that he’s willing to add his own voice to those calling for an approval of the Constitution. Democrat on Democrat. Mano a mano. Should be interesting, if Wolf ever gets up the nerve to do it…
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Energy Services | Enterprise Products Partners | Industrywide Issues | M&A | Williams

Drama: Enterprise Bails on Williams Merger, No Longer Interested
September 9, 2016September 9, 2016

The drama surrounding Williams and whether or not the company will sell itself continues. Energy Transfer Equity’s (ETE) billionaire CEO Kelsy Warren propositioned Williams for over six months before going public with his overtures last year (see Energy Transfer Makes “Indecent Proposal” to Buy Williams for $48B). Williams resisted, but eventually they caved and agreed to the deal, although the deal price went down by $10 billion (see Williams Accepts ETE’s “Indecent Proposal” – Price Went Down $10B). Warren claims he got snookered and got cold feet, eventually bailing (see Dead as a Doornail: ETE Terminates Merger with Williams). The ink on the flurry of lawsuits filed hadn’t even dried and Enterprise Products Partners, another huge midstream company, began making overtures to Williams (see Here We Go Again: Enterprise Products Wants to Buy Williams). That was last month. Yesterday Enterprise released a statement saying they’re finished with Williams, throwing in the towel, no longer interested. To which Williams (incredibly) replied they were “surprised” at the Enterprise announcement. Frankly, we’re surprised that Williams was surprised…
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Energy Services | Industrywide Issues | M&A | Williams

Williams Reorganizes to Focus on NatGas and “Drive Value”
September 8, 2016September 8, 2016

Williams continues to tread water as it is under assault by corporate raiders who want to toss out Williams management, fire a bunch a people and sell the company. We’ve chronicled the chaos endlessly (see our Williams stories here). It seems like every day there’s something new in this soap opera. Here’s the latest: Williams announced yesterday the company is streamlining its operations by consolidating what is currently five business units into three units: (1) Atlantic-Gulf, (2) West and (3) Northeast Gathering & Processing. The stated purpose is to “advance a natural gas-focused strategy” and to “drive value.” Here’s the details…
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Energy Services | Ethane | Industrywide Issues | NGLs | Processing Plants | Williams

Williams Considers Selling its Gulf Coast Ethane Cracker Plant
September 7, 2016September 7, 2016

Williams Geismar Olefins facility – click for larger version

Williams, because of evil corporate raiders like Keith “Mini-Me” Meister, continues to be in a fight for its very existence (see Corvex Raider Launches Hostile Takeover Attempt of Williams). In an effort to shore up the company–make it stronger AND produce cash that can be used for various purposes–Williams announced in August they are selling their Canadian assets for $1 billion (see Bold Move – Williams Selling Canadian Assets). Yesterday the company announced another potential asset sale–the company’s 88.5% ownership interest in the Geismar, Louisiana olefins petrochemical plant…
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Energy Services | Williams

Williams Appoints 3 New Board Members, Confounds Corp Raider
August 30, 2016August 30, 2016

If you’ve read MDN for any length of time, you already know of the ongoing soap opera of corporate raiders attempting to pressure Williams, a huge pipeline company in the northeast (and in the rest of the country) into selling itself to Energy Transfer Equity–a deal that fell apart in June (see Dead as a Doornail: ETE Terminates Merger with Williams). You also know that one of the corporate raiders (Carl Icahn protege) Keith “Mini-Me” Meister tried to force Williams CEO Alan Armstrong to resign, and when that didn’t happen, Meister and five others quit the board of directors in a huff (see Half of Williams Board, Including 2 Corporate Raiders, Quit). The raiders’ sole purpose in forcing Armstrong out is to force a new sale to a different company, Enterprise Products Partners (see Here We Go Again: Enterprise Products Wants to Buy Williams). Williams isn’t having it and announced earlier this month they were on the hunt to replace three of the six losers who quit the board with bona fide/qualified/independent board members (see Williams to Appoint 3 New Board Members, Replace Raiders Who Quit). Last week Mini-Me Meister launched a proxy war to elect himself and nine other of his lackeys to the Williams board (see Corvex Raider Launches Hostile Takeover Attempt of Williams). Good news: Williams has confounded Meister by naming three new board members. Each of them comes with stellar qualifications to help guide the company into the future WITHOUT selling itself to line the pockets of corporate raiders…
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Energy Services | Williams

Williams (WMB) Investing $250M in Williams Partners (WPZ)
August 29, 2016August 29, 2016

Once upon a time, before Energy Transfer Equity (ETE) made an indecent proposal to Williams to buy them out (see Energy Transfer Makes “Indecent Proposal” to Buy Williams for $48B), a deal that eventually fell apart, Williams the stockholding corporate mother ship had planned to buy out all of the “units” in subsidiary Williams Partners, a master limited partnership (MLP). But when ETE insisted on buying Williams, that ended the program of Williams (stock ticker WMB) from buying out Williams Partners (stock ticker WPZ). However, on Friday WMB announced it will purchase 6.975 million units (the equivalent of shares of stock in an MLP) for $250 million. Is this the revival of Williams’ original plan to merge what is now two entities on paper into one?…
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Energy Services | Enterprise Products Partners | Industrywide Issues | M&A | Williams

Corvex Raider Launches Hostile Takeover Attempt of Williams
August 26, 2016August 26, 2016

Corporate raider and Carl Icahn protege Keith “Mini-Me” Meister, Managing Partner of Corvex Management, has launched a full-out assault and takeover attempt of midstream company Williams. Yesterday MDN reported that Meister has floated a slate of 10 of his own people–including himself–as candidates for the board of directors for a scheduled vote during the annual meeting later this year (see Corp Raider Who Quit Williams Board Wants Now Wants Back On). Mini-Me tried this before and it failed (see Half of Williams Board, Including 2 Corporate Raiders, Quit). This time Mini-Me is trying to fight his proxy war via the court of public opinion. Writing on the Seeking Alpha investors website, Mini-Me Meister offers lame excuses for why he “must” attempt a takeover of Williams…
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Energy Services | Industrywide Issues | Pipelines | Regulation | Transco | Williams

Transco’s Northeast Expansion Project Advances, FERC Hearings in Sept
August 26, 2016March 28, 2017

Transco Northeast Supply Enhanacement Project map – click for larger version

In May Williams’ Transcontinental Gas Pipe Line Company (Transco) pre-filed with the Federal Energy Regulatory Commission (FERC) for a project called the Northeast Supply Enhancement project (see Williams Pre-Files with FERC to Expand Transco Pipeline in PA, NY). The new project is meant to increase pipeline capacity and flows heading into northeastern markets. In particular, Transco wants to provide more natural gas to utility giant National Grid beginning with the 2019-2020 heating season. National Grid operates in New York City, Rhode Island and Massachusetts. Also in May, Williams ran an open season to lock up commitments for the Northeast Supply Enhancement project (see Williams Announces Open Season for Northeast Supply Enhancement). The open season worked. National Grid committed to all 400,000 dekatherms of extra gas the project will provide. Currently FERC has its ears on–accepting comments about the project, both in writing and (in September) via four public hearings…
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Energy Services | Industrywide Issues | M&A | Williams

Corp Raider Who Quit Williams Board Wants Now Wants Back On
August 25, 2016August 26, 2016

Keith “Mini-Me” Meister, a protege of Carl Icahn and disgusting corporate raider bent on ruining Williams, just can’t stay away. He owns a lot of Williams stock (something like 4% of all Williams stock), and when Mini-Me Meister couldn’t get his own way in forcing Williams to merge with Energy Transfer Equity (see Dead as a Doornail: ETE Terminates Merger with Williams), and when Mini-Me and five other Williams board members couldn’t subsequently force Williams CEO Alan Armstrong to resign, he and the other others quit in a huff (see Half of Williams Board, Including 2 Corporate Raiders, Quit ). We told you earlier this week that Mini-Me Meister is trying to incite a shareholder revolt (see Corporate Raiders Try to Incite Shareholder Revolt at Williams). Now comes word that Meister has put his own name and nine others (from his corporate raider company, Corvex) forward to stand for election to the board of directors. It’s called a proxy fight to win control of the company. It will be expensive to combat, but Williams must combat it if they want to keep an independent company and not layoff thousands of people…
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Energy Services | Enterprise Products Partners | Industrywide Issues | M&A | Williams

Corporate Raiders Try to Incite Shareholder Revolt at Williams
August 22, 2016August 22, 2016

On Friday MDN reported that Enterprise Products Partners, a huge midstream company, wants to buy Williams (see Here We Go Again: Enterprise Products Wants to Buy Williams). Yes, we’ve seen this movie before. Last year Energy Transfer Equity’s CEO Kelcy Warren tried the same thing–which ended in disaster earlier this year (see Dead as a Doornail: ETE Terminates Merger with Williams). History is repeating itself. The same agitators–corporate raiders–are once again pressuring Williams to accept the Enterprise offer as they tried to get Williams to accept ETE’s earlier offer. Keith “Mini Me” Meister, a protege of Carl Icahn, is one of the corporate raiders pressuring Williams. Why? So Mini-Me can flip his large amount of Williams stock at a considerable profit (screwing employees of Williams in the process). Once again, here’s why corporate raiders, like Keith Meister, are disgusting low-lifes in our book…
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Energy Services | Enterprise Products Partners | Industrywide Issues | M&A | Williams

Here We Go Again: Enterprise Products Wants to Buy Williams
August 19, 2016August 19, 2016

Just when you thought things had finally settled down with midstream giant Williams, a new rumor is making the rounds. Brief history: Energy Transfer Equity’s (ETE) billionaire CEO Kelsy Warren propositioned Williams for over six months before going public with his overtures (see Energy Transfer Makes “Indecent Proposal” to Buy Williams for $48B). Williams resisted, but eventually they caved and agreed to the deal, although the deal price went down by $10 billion (see Williams Accepts ETE’s “Indecent Proposal” – Price Went Down $10B). Warren claims he got snookered and got cold feet, eventually bailing (see Dead as a Doornail: ETE Terminates Merger with Williams). Now the rumor mill is buzzing. Another company, Enterprise Products Partners, is making overtures to buy Williams for an undisclosed sum…
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Energy Services | Industrywide Issues | Pennsylvania | Pipelines | Statewide PA | Williams

Sign Letter to PA Gov. Wolf re Support Atlantic Sunrise Pipeline
August 17, 2016August 17, 2016

Pennsylvania residents: It’s time to (once again) show your support for the Atlantic Sunrise Pipeline project, a $3 billion, 198-mile project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from PA with the Williams’ Transco pipeline in southern Lancaster County. It is a much-needed pipeline to move more Marcellus gas south, to new markets. In the past MDN has asked you to sign letters going to the Federal Energy Regulatory Commission (FERC) and to the PA Dept. of Environmental Protection (DEP). And you, our dear readers, have been the most responsive audience to get behind the effort to support this project. Thank you! We’re coming to you again with a new request. Please electronically sign a letter that will go to PA Gov. Tom Wolf, requesting his support for the project. Wolf’s active support of the project will go a long way toward ensuring it gets built. All you need to do is fill out your name and a few details and click the “Sign” button–it literally takes less than 60 seconds. Please take a moment and do it right now by clicking this button:
Energy Services | Williams

Williams to Appoint 3 New Board Members, Replace Raiders Who Quit
August 16, 2016August 16, 2016

The big news in the midstream world over the past year was the attempted merger/takeover of Williams by Energy Transfer Equity. That deal finally fell apart in June (see Dead as a Doornail: ETE Terminates Merger with Williams). The only thing left still going on to do with that botched attempt is lawyers arguing about who owes what to whom (keeps the lawyers gainfully employed). After the deal failed, some Williams board members (namely two corporate raiders) attempted a palace coup. They tried to oust Williams CEO Alan Armstrong. When that effort failed, nearly half of the Williams board–who thought they would get rich quick by a sale to ETE–up and quit (see Half of Williams Board, Including 2 Corporate Raiders, Quit). Since last month Williams has been down 6 out of the original 14 board members. Time to fix that. Yesterday Williams announced it will name three new independent directors to the board in time for the annual meeting in November. No names were floated as potential candidates…
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Chesapeake Energy | Energy Companies | Energy Services | Williams

Chesapeake Energy Hands Over Keys to Barnett Shale to Someone Else
August 12, 2016August 12, 2016

Chesapeake Energy had some big news on Tuesday. The company is selling off its Barnett Shale assets, and in the process lightening the company’s future debt load considerably. This is a bit complicated, but we’ll try our best to break it down. Chesapeake announced Tuesday they are handing over the keys to 215,000 Barnett Shale acres (some developed, some not), along with 2,800 operational wells–giving it away to Saddle Barnett Resources LLC, a Dallas-based firm backed by First Reserve Corp. In return, Saddle Barnett is taking on renegotiated midstream contracts with Williams. The net result for Chesapeake is that the deal will “incinerate” about $1.9 billion in payments they would have had to make to Williams and others. As we said, it considerably lightens the stress on Chesapeake’s balance sheet. Williams is trying to put a happy face on the fact they will get less money after the deal than before. But then again, a solvent Chesapeake (and/or Saddle Barnett) paying something less is better than a bankrupt Chesapeake paying nothing. Why cover this story on MDN, a Marcellus/Utica focused website? Because if Chesapeake did it in the Barnett in Texas, they (or someone else) may try to do something similar in the Marcellus/Utica…
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