M&A 24 - Marcellus Drilling News

NEXUS Pipe Gets Fed Approval to Buy Toledo Pipe for $160M

September 16, 2019September 16, 2019

Generation Pipeline map (click for larger version)

Here’s one we had not previously heard (or reported) on: NEXUS Pipeline, built and operated by DTE Energy and Enbridge, wants to buy a small 23-mile pipeline in the Toledo area that connects to local utility companies in the region. The smaller pipeline is called the Generation Pipeline and is owned by North Coast Gas Transmission, which in turn is owned by Somerset Gas Transmission.
Read More “NEXUS Pipe Gets Fed Approval to Buy Toledo Pipe for $160M”

Italy’s Snam Wants to Buy and Operate Rover Pipeline

September 11, 2019September 11, 2019

In July rumors circulated that Energy Transfer is looking to sell its 33% ownership stake in Rover Pipeline, a project they worked so hard to build (see Energy Transfer Considers Sale of Rover Pipeline for $2.5B). Tongues are wagging once again. The rumor now is that Snam, an Italian natural gas infrastructure company, is interested in buying Rover and is, even as you read this, conducting due diligence to make it happen.
Read More “Italy’s Snam Wants to Buy and Operate Rover Pipeline”

Legal Sharks Circle in Class Action Against EQT/Rice 2017 Merger

August 28, 2019August 28, 2019

In June MDN told you that the Cambridge (Massachusetts) Retirement System is not happy with their investment in EQT shares of stock, so they’re suing the company (see Mass. Retirement Fund Sues EQT for Plummeting Stock Price). They hope to turn the lawsuit into a class action on behalf of other shareholders. Now a group of seven law firms (six in addition to the lawyers for Cambridge) are all petitioning the court to make their firm the lead counsel on a class action lawsuit against EQT.
Read More “Legal Sharks Circle in Class Action Against EQT/Rice 2017 Merger”

Energy Services | Industrywide Issues | M&A | Pipelines | Tallgrass Energy

Blackstone Floats $3B Offer to Buy Rest of Tallgrass Energy

August 28, 2019August 28, 2019

Back in January Tallgrass Energy, builder and operator of the mighty Rockies Express (REX) pipeline which is a critical link that flows Marcellus/Utica gas to Midwestern markets, dropped the bombshell announcement that investment firm Blackstone was buying a “controlling” interest in the company (see Blackstone Buys Controlling Interest in Tallgrass Energy). Blackstone now wants to buy the rest of the shares they don’t already own–and take Tallgrass private.
Read More “Blackstone Floats $3B Offer to Buy Rest of Tallgrass Energy”

Energy Services | Falcon Drilling | Industrywide Issues | M&A

Falcon Drilling Buys/Merges with Complete Drilling Solutions

August 15, 2019August 15, 2019

This one slipped under the radar for a bit. At the end of June, Pittsburgh-area Falcon Drilling, a Marcellus and Utica shale drilling contractor, announced it is buying out and merging in another Pittsburgh-area drilling company, Complete Drilling Solutions. Terms of the deal were not disclosed.
Read More “Falcon Drilling Buys/Merges with Complete Drilling Solutions”

Anadarko | Energy Companies | Industrywide Issues | M&A

Deal is Done: Anadarko Petroleum Now Part of Occidental Petroleum

August 9, 2019August 9, 2019

Anadarko Petroleum, as an independent company, is no more. The company has officially sold itself and is now merged into Occidental Petroleum in a cash, stock and assumption of debt deal worth $55 billion. At one point Chevron had a deal to buy Anadarko, but Anadarko left them at the altar, along with a $1 billion deal abortion payment (see Anadarko Leaves Chevron at the Altar to Elope with Occidental).
Read More “Deal is Done: Anadarko Petroleum Now Part of Occidental Petroleum”

LNG Virtual Pipe Co Stabilis Buys/Merges in American Electric

July 30, 2019July 30, 2019

Stabilis Energy, based in Houston, TX, offers a complete range of fully integrated LNG fueling solutions from LNG production to LNG distribution and technical support across North America. Stabilis has just bought out and merged in another company, American Electric Technologies. And believe it or not, there IS a Marcellus/Utica tie-in.
Read More “LNG Virtual Pipe Co Stabilis Buys/Merges in American Electric”

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

American Energy Partners Buys Hickman Geological Consulting

July 17, 2019July 17, 2019

American Energy Partners, Inc. (AEPT), based in Allentown, PA, has just added a fourth subsidiary/division to the company. AEPT has agreed to acquire 100% of Hickman Geological Consulting, LLC in an all-stock deal. AEPT is giving owners Josh and Jessica Hickman 40.5 million shares of AEPT stock as payment. Josh Hickman is an AEPT board member. As of this morning AEPT shares are trading (on the Pink Sheets, over the counter) at $0.0055 per share (a little over half a penny per share). Doing the math, we peg the value of the deal at $222,750.
Read More “American Energy Partners Buys Hickman Geological Consulting”

C&J Energy Services | Energy Services | Industrywide Issues | Keane Group | M&A

Oilfield Service Companies Keane and C&J Energy Merging

June 19, 2019June 19, 2019

Two oilfield service (OFS) companies, C&J Energy Services and Keane Group, have announced a “merger of equals” in which the two will combine into one with using an all-stock merger. Both C&J and Keane have operations in the Marcellus/Utica region. Both companies previously merged with or bought out other companies. This certainly seems to be a trend with OFS companies.
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Columbia Pipeline Shareholders Sue re 2016 Sale to TransCanada

May 22, 2019May 22, 2019

TransCanada Corporation, which renamed itself TC Energy earlier this year, made a play for and bought out/merged in U.S.-based Columbia Pipeline Group in 2016 (see TransCanada and Columbia Pipeline Tie the Knot Today). TransCanada paid $13 billion for Columbia, including assumption of $2.8 billion of debt. Columbia has major pipeline operations throughout the Marcellus/Utica region.
Read More “Columbia Pipeline Shareholders Sue re 2016 Sale to TransCanada”

Anadarko | Chevron | Energy Companies | Industrywide Issues | M&A

Chevron Leaves the Altar with $1B, Waves Goodbye to Anadarko

May 9, 2019May 10, 2019

Whew, that was close. We’ve had a concern that if Chevron ended up buying Anadarko Petroleum (for Anadarko’s Permian Basin oil assets), it might lead to Chevron pulling back from their drilling program in the Marcellus/Utica (see Permian Love Story: Chevron Buying Anadarko in $50B Megamerger). We don’t have to worry any more. Even though Anadarko signed a deal to sell itself to Chevron, Occidental Petroleum made a bid to buy the company too (see Occidental Petroleum Offers 14% More than Chevron to Buy Anadarko). There’s a breakup clause in the signed Chevron deal. Anadarko would have to pay Chevron $1 billion for leaving them at the altar.
Read More “Chevron Leaves the Altar with $1B, Waves Goodbye to Anadarko”

Anadarko | Chevron | Energy Companies | Industrywide Issues | M&A

Anadarko Leaves Chevron at the Altar to Elope with Occidental

May 7, 2019May 7, 2019

The battle to buy Anadarko Petroleum by Chevron and Occidental Petroleum (Oxy) has taken an interesting turn. Over the weekend Oxy revised its offer. It will still pay Anadarko shareholders $57 billion (as before), but the offer was revised to dial up the amount of cash and dial down the amount of stock swaps. Never hurts to use cash as a sweetener. The new offer did the trick. Although Anadarko previously signed an agreement to sell itself to Chevron, Anadarko announced yesterday they are leaving Chevron at the altar and riding off into the sunset to elope with Oxy.
Read More “Anadarko Leaves Chevron at the Altar to Elope with Occidental”

Anadarko | Chevron | Energy Companies | Industrywide Issues | M&A

Occidental Petroleum Offers 14% More than Chevron to Buy Anadarko

April 25, 2019April 25, 2019

Less than two weeks ago Chevron announced a deal to buy Anadarko Petroleum for $33 billion plus assuming outstanding debt, a deal worth $50 billion (see Permian Love Story: Chevron Buying Anadarko in $50B Megamerger). At the time we told you about a potential cloud on the horizon–that Occidental Petroleum had offered more for Anadarko. Indeed, Oxy wants Anadarko too, and a full-blown bidding war has now erupted. Yesterday Oxy made it’s offer public, an offer 14% higher than Chevron’s offer: $57 billion.
Read More “Occidental Petroleum Offers 14% More than Chevron to Buy Anadarko”

Will Chevron Dump its M-U Assets to Chase Permian Black Gold?

April 22, 2019April 22, 2019

A week ago MDN brought you the news that Chevron has cut a $50 billion deal to buy Anadarko Petroleum (see Permian Love Story: Chevron Buying Anadarko in $50B Megamerger). Although Chevron will benefit in a number of ways from the transaction, as we indicated in the headline, the primary motivator is to gain valuable acreage in the oily Permian Basin of West Texas. The question now becomes, will Chevron hold on to its Marcellus/Utica assets? Or sell them in order to concentrate on the Permian?
Read More “Will Chevron Dump its M-U Assets to Chase Permian Black Gold?”

Anadarko | Chevron | Energy Companies | Industrywide Issues | M&A

Permian Love Story: Chevron Buying Anadarko in $50B Megamerger

April 15, 2019April 15, 2019

Another truly huge merger/buyout was announced Friday when Chevron said it is buying Anadarko Petroleum for $33 billion. When you factor in Chevron assuming Anadarko’s debt, the total deal is valued at $50 billion, a number hard to wrap your brain around. The key question for us is: What does this mean for Chevron’s drilling program in the Marcellus/Utica?

UPDATE: See our note below about Anadarko in PA.
Read More “Permian Love Story: Chevron Buying Anadarko in $50B Megamerger”

Energy Companies | Industrywide Issues | M&A | Penn Virginia Corporation

Denbury/Penn Virginia Merger Aborted – PV Shareholder Resistance

March 22, 2019March 22, 2019

Penn Virginia, an oil and gas driller headquartered in Radnor, PA (near Philadelphia) announced last October it had found someone to buy the company–Denbury Resources (see Penn Virginia Finally Sells Itself, Denbury Buys for $1.7 Billion). As of a few weeks ago both companies filed proxy statements with the Securities and Exchange Commission to announce a final merger vote set for April 17. That’s now off–because some Penn Virginia shareholders got cold feet.
Read More “Denbury/Penn Virginia Merger Aborted – PV Shareholder Resistance”