M&A

American Energy Partners Inc. | Energy Companies | Industrywide Issues | Landfills | M&A

American Energy Buys Radioactive Waste Co. Austin Master Services
July 12, 2022July 12, 2022

American Energy Partners, Inc. (AEPT), based in Allentown, PA, is a small but diversified company. They have their fingers in a number of different oil and gas pies, including subsidiaries in drilling, remediation, water, valuation services, and education. Add one more to the list: radioactive waste. AEPT recently announced it has purchased Austin Master Services, a company that services the Marcellus/Utica industry (and other industries) with radiological waste management solutions, including remediation, decontamination & decommissioning (D&D), and transport.
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Ascent Resources | Energy Companies | Industrywide Issues | M&A | Ohio | Statewide OH

Ascent Resources Buys Another 27K Utica Acres for $270 Million
July 11, 2022July 11, 2022

Ascent Resources, originally founded as American Energy Partners by gas legend Aubrey McClendon, is a privately-held company that focuses 100% on the Ohio Utica Shale. Ascent is Ohio’s largest natural gas producer and the 8th largest natural gas producer in the U.S. There have been plenty of rumors swirling about Ascent, one that says Gulfport Energy is interested in selling to Ascent (see Rumor: Gulfport Energy in Talks to Merge with Ascent Resources) and another that the company is close to launching an IPO (see Ohio’s Largest Shale Driller, Ascent Resources, Preps for IPO). Here’s something that’s not a rumor: The company is buying another 26,800 acres in the Ohio Utica for $270 million.
Read More “Ascent Resources Buys Another 27K Utica Acres for $270 Million”
Encino Energy | Energy Companies | Gulfport Energy | Industrywide Issues | M&A | Ohio | Statewide OH

Utica Driller Gulfport Energy Considers Merger with Encino Energy
July 1, 2022July 1, 2022

Sources whispering to Bloomberg say that Gulfport Energy, the third-largest driller in the Ohio Utica Shale (by the number of wells drilled), is having exploratory talks with Encino Energy about selling itself to/merging with Encino. In March the rumor mill said Gulfport was in talks to sell itself to Ascent Resources (see Rumor: Gulfport Energy in Talks to Merge with Ascent Resources). It appears those talks didn’t go anywhere. What about this time?
Read More “Utica Driller Gulfport Energy Considers Merger with Encino Energy”
Energy Companies | Industrywide Issues | M&A | Pennsylvania | Potter County | Rockdale | S.T.L. Resources | Tilden Bradford | Tioga County (PA)

STL Resources Buys Tilden PA Marcellus Assets from Bankruptcy Sale
June 29, 2022June 29, 2022

S.T.L. Resources, LLC, an independent oil and gas company with headquarters outside of Pittsburgh, announced yesterday that the company has purchased the remaining assets of Tilden Marcellus for an undisclosed sum. Tilden filed for Chapter 11 bankruptcy protection in February (see Tilden Marcellus Files for Voluntary Chapter 11 Bankruptcy). Although STL doesn’t mention how much it paid, when Tilden filed in February, the company reported its value at the time was “$10 million to $50 million in both assets and liabilities.”
Read More “STL Resources Buys Tilden PA Marcellus Assets from Bankruptcy Sale”
Energy Services | Hydraulic Fracturing | Industrywide Issues | M&A | ProFrac | U.S. Well Services

ProFrac Buying E-Fracker US Well Services for Estimated $230M
June 28, 2022June 28, 2022

U.S. Well Services (USWS), a company that specializes in fracking shale wells using gas-fired electric (as opposed to diesel) engines, has operations in the Marcellus/Utica, as well as other plays. Last week USWS announced it is selling itself to ProFrac Holding Corp. in an all-stock transaction analysts value at $225-$230 million. The deal will create the second-largest U.S. fracking company by total horsepower, and the largest electric fleet operator with 12 active e-fracking fleets.
Read More “ProFrac Buying E-Fracker US Well Services for Estimated $230M”
Energy Companies | Greylock Energy | Industrywide Issues | M&A

Greylock Energy, Former Pure-Play M-U, Buys Western O&G Assets
June 16, 2022June 16, 2022

Here’s some major news that we confess we somehow missed back in March. Greylock Energy, which is headquartered in Charleston, WV, and has (until recently) been a pure-play natural gas driller in the Marcellus/Utica, now owns assets and drills for oil (and gas) in Utah and Wyoming. Kyle Mork, president and CEO of Greylock Energy, addressed Hart Energy’s DUG East conference in Pittsburgh yesterday. He talked extensively about Greylock’s decision to “go West young molecule” (our words). Why the Uinta and Green River Basin? Why now?
Read More “Greylock Energy, Former Pure-Play M-U, Buys Western O&G Assets”
Industrywide Issues | Lease & Royalty Payments | M&A

Falcon & Desert Peak Minerals Combine to Form Sitio Royalties Corp.
June 6, 2022June 6, 2022

From time to time we highlight deals by companies that purchase landowners’ (or rights owners’) royalty payments–giving them a lump sum payment upfront in return for signing over all future royalty payments to the company buying the rights. Buying future royalty payments is not unlike companies that approach and pay lottery winners who receive payouts over a long period (for life, or for a period of years), with the lottery winner selling his or her future payments for a single lump sum now. Two companies of the larger companies in this space are about to merge.
Read More “Falcon & Desert Peak Minerals Combine to Form Sitio Royalties Corp.”
Industrywide Issues | M&A

Activist Investor Elliott Management Goes Shopping in Shale Plays
May 26, 2022May 26, 2022

We have mixed emotions about Elliott Management, a so-called activist investment firm. On the one hand, Elliott assisted the Rice boys in their takeover of EQT in July 2019, which turned out to be a very positive thing (see Rice Bros. Win Proxy War to Control EQT – Toby Rice New CEO). On the other hand, Elliott pressured Marathon Petroleum to sell off two of its three divisions, including what was called MarkWest Energy (see Partial Activist Victory: Marathon to Sell Speedway, CEO Retiring). Elliott succeeded in forcing Marathon to divest its retail Speedway chain, but not MarkWest (now called MPLX). Elliott is on the hunt once again. Elliott, according to Reuters, wrote to big banks in January inviting them to pitch opportunities to acquire U.S. oil and gas acreage.
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BKV/Banpu | Energy Companies | Exxon Mobil | Industrywide Issues | M&A

Banpu Expands Again – Buys Exxon’s Texas Barnett Assets
May 20, 2022May 27, 2022

Banpu is Thailand’s largest coal mining company. But Banpu is far more than just a coal company. It has multiple subsidiaries in various energy industries scattered around the globe. For example, here in the U.S. Banpu partners with Kalnin Ventures and operates BKV Corporation (Banpu Kalnin Ventures), the American shale drilling arm of Banpu (Banpu owns 96% of BKV). Banpu originally entered the American shale sector by investing over $500 million in 2016-2017 to buy existing Marcellus wells and acreage in northeast Pennsylvania. But then the company developed a wandering eye…
Read More “Banpu Expands Again – Buys Exxon’s Texas Barnett Assets”
Diversified Energy | Energy Companies | Industrywide Issues | M&A | Ohio | Statewide OH

Diversified Energy Buys Second Well-Plugging Co. – Based in OH
May 17, 2022May 27, 2022

Diversified Energy is growing again. In February Diversified bought out and merged in well-plugging company Next LVL Energy, headquartered in the Pittsburgh area (see Diversified Energy Buys Well-Plugging Co. NextLVL Energy). Yesterday Diversified announced it is buying a second well-plugging company, Nick’s Well Plugging LLC, based in Warren, Ohio, for an undisclosed price. Diversified will add the personnel and equipment from Nick’s to Next LVL, bumping up the existing six well-plugging crews to eight, with plans to add a ninth soon.
Read More “Diversified Energy Buys Second Well-Plugging Co. – Based in OH”
Allegheny County | Industrywide Issues | M&A | Pennsylvania

GAI Buys Texas Engineering Co. to Expand Services in M-U, Elsewhere
April 18, 2022April 18, 2022

GAI Consultants, headquartered in Pittsburgh, is a planning, engineering & environmental consulting firm serving clients in the energy, transportation, development, government, and industrial markets. GAI has been in business since 1958 and has served the oil and gas industry since the early 1980s. The shale industry was a big boom for GAI’s business. Shale is helping GAI to grow again–exponentially. GAI announced last Friday the company has expanded further into the oil and gas industry with the acquisition of PGH Petroleum & Environmental Engineers LLC, headquartered in Austin, Texas.
Read More “GAI Buys Texas Engineering Co. to Expand Services in M-U, Elsewhere”
Ascent Resources | Energy Companies | Gulfport Energy | HG Energy | Industrywide Issues | M&A | XTO

4 Cos. Shopping M-U Assets – Represents 11.5% of M-U Production
April 7, 2022April 7, 2022

We recently received a couple of recent issues of a monthly news/analysis newsletter from The Capitol Forum (TCF). The author shared with us (and is allowing us to share with you) the March and April monthly editions of TCF Upstream Monthly, a publication that focuses on drilling in the Appalachian Basin. The April issue tackles the rumored Gulfport Energy/Ascent Resources merger we recently reported on (see Rumor: Gulfport Energy in Talks to Merge with Ascent Resources). Analysis of that potential merger is fascinating. However, it was tangential information part of the analysis that caught our eye. If you add up all of the assets currently rumored or known to be in play (for sale or merger), it amounts to 11.5% of all M-U production.
Read More “4 Cos. Shopping M-U Assets – Represents 11.5% of M-U Production”
Ascent Resources | Energy Companies | Gulfport Energy | Industrywide Issues | M&A | Ohio | Statewide OH

Rumor: Gulfport Energy in Talks to Merge with Ascent Resources
March 28, 2022March 31, 2022

Public company Gulfport Energy, the third-largest driller in the Ohio Utica Shale (by the number of wells drilled), emerged from bankruptcy less than a year ago, in May 2021, with a new board and new top management (see Gulfport Energy Emerges from Bankruptcy w/New Board, CEO/CFO Gone). By September of last year the rumors began that the company was shopping itself for sale (see Big News: OH Utica Driller Gulfport Energy Looking to Sell Itself). There’s a new rumor that Gulfport is in serious talks to sell itself to and merge with private company Ascent Resources, the Ohio Utica’s largest producer.
Read More “Rumor: Gulfport Energy in Talks to Merge with Ascent Resources”
Energy Companies | EQT Corp | Industrywide Issues | M&A

EQT Now Considered a “Mini-Major” – On the Prowl to Buy Again?
March 16, 2022March 16, 2022

We’ve heard of “supermajors”–those six to seven integrated oil and gas companies that have a market capitalization of $100 billion or more (including ExxonMobil, Shell, BP, Chevron, ConocoPhillips, and Total). We’ve heard of “majors”–integrated oil and gas companies defined as having a market capitalization of $10 billion to $100 billion. And we’ve heard of “independents”–smaller companies that focus just on drilling (not integrated, meaning no downstream and possibly no midstream operations). A Reuters article introduces to a new concept–mini-majors. Among that group is EQT Corporation.
Read More “EQT Now Considered a “Mini-Major” – On the Prowl to Buy Again?”
Alternative Energy | Industrywide Issues | M&A

Dan Rice’s Renewable Energy SPAC Moving to Houston, TX
February 15, 2022February 15, 2022

In December 2020, Dan Rice IV, former CEO of Rice Energy and a member of the EQT board of directors, launched a “blank check” acquisition firm, called Rice Acquisition Corp., to invest in various energy ventures. Dan found that something-to-invest-in just a few months later in the form of acquiring and merging together Archaea Energy and Aria Energy into a single company focused on providing renewable natural gas (RNG) and “green” hydrogen (see Dan Rice Bets $1 Billion that Landfill Gas is the Next Big Thing). With the merger done, the new company (using the Archaea Energy name) is moving from Pittsburgh to Houston, Texas. Because of the move, the company needs a new chief financial officer and a chief legal officer.
Read More “Dan Rice’s Renewable Energy SPAC Moving to Houston, TX”
Dominion Energy | Energy Services | Industrywide Issues | LDCs | M&A | Pipelines | Statewide WV | West Virginia

Dominion Selling WV Utility – Deal Incl. 2K Miles Gathering Pipes
February 14, 2022February 14, 2022

Dominion Energy is divesting itself from a natural gas utility company it owns in West Virginia–Hope Gas, Inc. Dominion is selling Hope to investment firm Ullico Inc. for $690 million. Ullico plans to combine Hope Gas with another company it owns, Hearthstone Utilities, Inc. The reason this deal caught our attention is that Hope Gas owns and operates “2,000 miles of gathering pipelines” in the Mountain State.
Read More “Dominion Selling WV Utility – Deal Incl. 2K Miles Gathering Pipes”