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  • Data analysis Lukoil Finds Oil at Eridu-1 Well, Iraq

    Lukoil and Inpex have successfully completed the testing of the first exploratory well, Eridu-1, at Block 10 in Southern Iraq. The well recorded daily flow rate of more than 1,000 cubic meters of sweet oil from Mishrif horizon, confirming geological expectations of a large hydrocarbon field presence within...

    Lukoil Finds Oil at Eridu-1 Well, IraqData analysis
    Exploration

    Lukoil and Inpex have successfully completed the testing of the first exploratory well, Eridu-1, at Block 10 in Southern Iraq. The well recorded daily flow rate of more than 1,000 cubic meters of sweet oil from Mishrif horizon, confirming geological expectations of a large hydrocarbon field presence within the Block 10 contract area. Geological exploration at the block is in progress and work program for 2017 includes the drilling and testing of an appraisal well Eridu-2.

    View Lukoil press release

    Ownership structure of Block 10: Lukoil (60%, operator) and Inpex (40%).

  • Data analysis ADNOC Awards 8% Stake in ADCO Concession to CNPC

    Abu Dhabi National Oil Company (ADNOC) has signed an agreement with the China National Petroleum Corporation (CNPC) to award it an 8% interest in Abu Dhabi’s onshore oil concession. CNPC contributed a sign up bonus of $1.77 billion to enter the concession. The onshore concession is operated by the Abu...

    ADNOC Awards 8% Stake in ADCO Concession to CNPCData analysis
    Headlines, Global Deals

    Abu Dhabi National Oil Company (ADNOC) has signed an agreement with the China National Petroleum Corporation (CNPC) to award it an 8% interest in Abu Dhabi’s onshore oil concession. CNPC contributed a sign up bonus of $1.77 billion to enter the concession. The onshore concession is operated by the Abu Dhabi Company for Onshore Petroleum Operations (ADCO).

    The agreement has a term of 40 years, back-dated to 1-Jan-2015.

    View ADNOC press release

  • Data analysis Lundin Makes Oil Discovery at 7219/12-1 Well, Barents Sea

    Lundin Petroleum has made an oil and gas discovery in the 7219/12-1 well on the Filicudi prospect, located in PL533 license, approximately 40 km south-west of Johan Castberg and 30 km north-west of the Alta and Gohta discoveries on the Loppa High in the southern Barents Sea.The main objective of the well was...

    Lundin Makes Oil Discovery at 7219/12-1 Well, Barents SeaData analysis
    Exploration

    Lundin Petroleum has made an oil and gas discovery in the 7219/12-1 well on the Filicudi prospect, located in PL533 license, approximately 40 km south-west of Johan Castberg and 30 km north-west of the Alta and Gohta discoveries on the Loppa High in the southern Barents Sea.

    The main objective of the well was to prove oil in Jurassic and Triassic sandstone reservoirs. The well, drilled by the Leiv Eiriksson rig, encountered a gross 129m hydrocarbon column of high quality sandstone reservoir characteristics, with 63m of oil and 66m gas in the Jurassic and Triassic targets. Extensive data acquisition and sampling has been carried out including coring, logging and oil and gas sampled from the wireline tools.

    The gross resource estimate for the Filicudi discovery is between 35-100 MMBOE. Well results indicate significant upside potential that require further appraisal drilling.

    View Lundin press release

    Ownership of PL533: Lundin Petroleum (35%, operator), Aker BP (35%) and L1 Energy (30%).

  • Total Q4-2016 Net Profit Rises to $2.4 Billion

    Total reported a 16% YoY growth in Q4-2016 net profit to $2.4 billion. Income from Upstream segment grew 51% YoY to $1.13 billion, and income from refining and chemicals segment was up 13% YoY to $1.14 billion. Marketing and Services segment income fell 22% YoY to $411 million.Net production was up 4.7% YoY...

    Total Q4-2016 Net Profit Rises to $2.4 Billion
    Headlines, Results & Reports

    Total reported a 16% YoY growth in Q4-2016 net profit to $2.4 billion. Income from Upstream segment grew 51% YoY to $1.13 billion, and income from refining and chemicals segment was up 13% YoY to $1.14 billion. Marketing and Services segment income fell 22% YoY to $411 million.

    Net production was up 4.7% YoY to 2.5 MMBOE/d, aided by the start up and ramp up of projects including Laggan-Tormore, Vega Pleyade, Surmont Phase 2, Moho Phase 1b, and Incahuasi.

    View Total press release

  • Data analysis Stone Energy Divests Appalachia Assets for $527 Million

    Stone Energy has sold all of its approximately 86,000 net acres in the Appalachia regions of Pennsylvania and West Virginia, including approximately 53,000 core net Marcellus acres and drilling rights on approximately 44,000 net acres in the Utica, to EQT Corporation, through its wholly-owned subsidiary EQT...

    Stone Energy Divests Appalachia Assets for $527 MillionData analysis
    Global Deals

    Stone Energy has sold all of its approximately 86,000 net acres in the Appalachia regions of Pennsylvania and West Virginia, including approximately 53,000 core net Marcellus acres and drilling rights on approximately 44,000 net acres in the Utica, to EQT Corporation, through its wholly-owned subsidiary EQT Production Company (EQT), for a sales price of $527 million.

    Stone Energy expects to close the sale of the assets by 28-Feb-2017.

    View Stone Energy press release

  • Data analysis Parsley Acquires Midland Basin Assets for $2.8 Billion

    Parsley Energy has entered into an agreement to acquire certain undeveloped acreage and producing oil and gas properties in the core of the Midland Basin from Double Eagle Energy Permian LLC for an aggregate purchase price of approximately $2.8 billion.Upon completion, the pending acquisition will add...

    Parsley Acquires Midland Basin Assets for $2.8 BillionData analysis
    Headlines, Global Deals

    Parsley Energy has entered into an agreement to acquire certain undeveloped acreage and producing oil and gas properties in the core of the Midland Basin from Double Eagle Energy Permian LLC for an aggregate purchase price of approximately $2.8 billion.

    Upon completion, the pending acquisition will add approximately 71,000 net acres to the Parsley's Midland Basin acreage portfolio, bringing total Permian Basin net acreage to approximately 227,000 acres.

    Acquisition highlights:

    • Approximately 71,000 net leasehold acres
    • Estimated net production of approximately 3.6 MBOE/d as of 1-Jan-2017
    • 23 drilled uncompleted wells, variously targeting the Lower Spraberry, Middle Spraberry, Wolfcamp A, and Wolfcamp B formations, with an average lateral length of approximately 8,400 ft, valued at approximately $75-$100 million in aggregate
    • Approximately 3,300 net horizontal drilling locations, including approximately 1,800 net locations in high priority target intervals (Lower Spraberry, Wolfcamp A, Wolfcamp B)
    • Average lateral length of approximately 6,600 ft on acquired horizontal drilling locations; more than 40% of acquired horizontal drilling locations have lateral lengths of 7,500 ft or more
    • Operating control on 80% of net horizontal drilling locations
    • Incremental value potential through ongoing acreage trades, bolt-on acquisitions, and working interest buyouts; Double Eagle to assist with asset operation and handoff, as well as acreage trades and purchases after closing

    Consideration consists of approximately $1.4 billion of cash and approximately 39.4 million units of Parsley Energy LLC (together with a corresponding number of shares of Parsley Energy class B common stock) valued at approximately $1.4 billion; Parsley intends to finance the cash portion of the consideration through equity and debt offerings announced concurrently with the acquisition.

    The transaction is scheduled to close on or before 20-Apr-2017.

    View Parsley press release

  • BP Q4-2016 Profit Rises to $400 Million

    BP reported Q4-2016 underlying replacement cost (RC) profit of $400 million, compared to $196 million in Q4-2015. Upstream segment reported a profit of $400 million, compared to the loss of $728 million in Q4-2015. Profit from downstream segment dropped to $877 million compared to $1.2 billion in...

    BP Q4-2016 Profit Rises to $400 Million
    Headlines, Results & Reports

    BP reported Q4-2016 underlying replacement cost (RC) profit of $400 million, compared to $196 million in Q4-2015. Upstream segment reported a profit of $400 million, compared to the loss of $728 million in Q4-2015. Profit from downstream segment dropped to $877 million compared to $1.2 billion in Q4-2015.

    Q4-2016 capex was slashed to $5.1 billion compared with $6.1 billion in Q4-2015.

    View BP press release

  • Data analysis Delek Offers to Take-Over Ithaca Energy

    Ithaca Energy has entered into a definitive support agreement with Delek Group on the terms of a cash take-over bid for all of the issued and to be issued common shares of Ithaca not currently owned by Delek or any of its affiliates for C$1.95 per share (US$1.49).Highlights:The offer is for a cash...

    Delek Offers to Take-Over Ithaca EnergyData analysis
    Global Deals

    Ithaca Energy has entered into a definitive support agreement with Delek Group on the terms of a cash take-over bid for all of the issued and to be issued common shares of Ithaca not currently owned by Delek or any of its affiliates for C$1.95 per share (US$1.49).

    Highlights:

    • The offer is for a cash consideration of C$1.95 per share, which equates to £1.20 (US$1.49) per share based on the exchange rate on 3-Feb-2017
    • The offer is unanimously recommended by the Board of Directors of Ithaca (excluding the Delek related party Directors) and values the entire issued and to be issued share capital of the Ithaca Energy at C$841 million (US$646 million)
    • The offer provides shareholders with the opportunity to crystallize the value of their holdings in cash and represents a 12% premium to the TSX closing price of C$1.74 per share on 3-Feb-2017 and a 16% and 27% premium to the 30 day and 60 day volume weighted average prices respectively
    • The offer price represents a substantial premium to the average analyst consensus target price of C$1.60 per share
    • The offer implies a total enterprise value of approximately US$1.24 billion

    Delek is an Israeli listed conglomerate with significant natural gas exploration and production activities in the Eastern Mediterranean and an existing 19.7% shareholder in Ithaca. Ithaca Energy is a North Sea oil and gas operator focused on the delivery of lower risk growth through the appraisal and development of UK undeveloped discoveries and the exploitation of its existing UK producing asset portfolio.

    View Ithaca press release

  • Data analysis Statoil Discovers Gas at Valemon West Well, North Sea

    Statoil has made a gas discovery at Valemon West well, North Sea. The discovery is estimated to contain between 20-50 MMBOE.The well was drilled in production licence 193 D at Valemon Unit, 160 km north-west of Bergen, by the jackup rig West Elara to a vertical depth of 4,337m below sea level. Water depth in...

    Statoil Discovers Gas at Valemon West Well, North SeaData analysis
    Exploration

    Statoil has made a gas discovery at Valemon West well, North Sea. The discovery is estimated to contain between 20-50 MMBOE.

    The well was drilled in production licence 193 D at Valemon Unit, 160 km north-west of Bergen, by the jackup rig West Elara to a vertical depth of 4,337m below sea level. Water depth in the area is 133.5m.

    Ownership of Valemon Unit: Statoil (53.8%, operator), Petoro AS (30%), Centrica (13%) and Shell (3.2%).

    View Statoil press release

  • Shell 2016 Earnings Fall to $7.2 Billion

    Shell reported 2015 CCS earnings excluding identified items of $7.2 billion compared with $11.4 billion in 2015, a decrease of 37% YoY.Full year upstream earnings excluding identified items were a loss of $2.7 billion compared with a loss of $2.3 billion in 2015. Full year downstream earnings excluding...

    Shell 2016 Earnings Fall to $7.2 Billion
    Headlines, Results & Reports

    Shell reported 2015 CCS earnings excluding identified items of $7.2 billion compared with $11.4 billion in 2015, a decrease of 37% YoY.

    Full year upstream earnings excluding identified items were a loss of $2.7 billion compared with a loss of $2.3 billion in 2015. Full year downstream earnings excluding identified items were $7.2 billion compared with $9.7 billion in 2015, down 26% YoY.

    Full year 2016 oil and gas production was 3.668 MMBOE/d, 24% YoY higher compared with 2015.

    View Shell press release

  • Data analysis ONEOK Acquires Remaining Stake in ONEOK Partners

    ONEOK Inc and ONEOK Partners LP have announced a definitive agreement under which ONEOK will acquire all of the outstanding common units of ONEOK Partners it does not already own for $9.3 billion in ONEOK common stock.Under the agreement, each outstanding common unit of ONEOK Partners that ONEOK does not...

    ONEOK Acquires Remaining Stake in ONEOK PartnersData analysis
    Headlines, Global Deals

    ONEOK Inc and ONEOK Partners LP have announced a definitive agreement under which ONEOK will acquire all of the outstanding common units of ONEOK Partners it does not already own for $9.3 billion in ONEOK common stock.

    Under the agreement, each outstanding common unit of ONEOK Partners that ONEOK does not already own will be converted into 0.985 shares of ONEOK common stock. In aggregate, ONEOK will issue 168.9 million shares in connection with the proposed transaction, representing approximately 44.5% of the total shares outstanding of the pro forma combined entity. ONEOK estimates the value of the transaction to be $17.2 billion. ONEOK Partners units will no longer be publicly traded. 

    ONEOK Partners is a master limited partnership, which owns natural gas liquids (NGL) systems, connecting NGL supply in the Mid-Continent, Permian and Rocky Mountain regions with key market centers and is also engaged in the gathering, processing, storage and transportation of natural gas in the United States. Post-transaction, ONEOK is estimated to have an enterprise value of ~$30 billion and operate a network of 37,000 miles of NGLs and natural gas pipelines, processing plants, fractionaters and storage facilities located in Williston basin, Mid-Continent, Permian basin, Midwest and Gulf Coast.

    Completion of the transaction is expected to occur in Q2-2017.  

    View ONEOK press release

  • ExxonMobil 2016 Earnings Drop 51%

    ExxonMobil reported earnings of $7.84 billion for 2016, down 51% YoY. Upstream earnings were $2.2 billion in 2016, down $4.9 billion from 2015. Downstream earnings of $4.2 billion decreased $2.4 billion from 2015. Total revenue and other income in 2016 declined 15.9% YoY to $226 billion. Capital and...

    ExxonMobil 2016 Earnings Drop 51%
    Headlines, Results & Reports

    ExxonMobil reported earnings of $7.84 billion for 2016, down 51% YoY. Upstream earnings were $2.2 billion in 2016, down $4.9 billion from 2015. Downstream earnings of $4.2 billion decreased $2.4 billion from 2015. 

    Total revenue and other income in 2016 declined 15.9% YoY to $226 billion. Capital and exploration expenditures were $19.3 billion, down 38% from 2015.

    Production was down slightly at 4.1 MMBOE/d compared to 2015. Liquids production of 2.4 MMbbl/d increased 20 Mbbl/d with increased project volumes, mainly in Canada, Indonesia and Nigeria, partly offset by field decline, the impact from Canadian wildfires, and downtime notably in Nigeria.

    View ExxonMobil press release

  • Data analysis Chrysaor Buys UK North Sea Assets from Shell

    Shell has agreed to sell a package of UK North Sea assets to Chrysaor for a total of up to $3.8 billion, including an initial consideration of $3 billion and a payment of up to $600 million between 2018-2021 subject to commodity price, with potential further payments of up to $180 million for future...

    Chrysaor Buys UK North Sea Assets from ShellData analysis
    Headlines, Global Deals

    Shell has agreed to sell a package of UK North Sea assets to Chrysaor for a total of up to $3.8 billion, including an initial consideration of $3 billion and a payment of up to $600 million between 2018-2021 subject to commodity price, with potential further payments of up to $180 million for future discoveries.

    The package of assets consists of Shell’s interests in Buzzard, Beryl, Bressay, Elgin-Franklin, J-Block, the Greater Armada cluster, Everest, Lomond and Erskine, plus a 10% stake in Schiehallion. The package represents total production of ~115 MBOE/d (Shell share) in 2016. 

    The transaction is expected to close in H2-2017.

    View Shell press release

  • Data analysis Shell Divests Bongkot Gas Field to KUFPEC for $900 Million

    Shell has reached an agreement with KUFPEC for the sale of subsidiary companies Shell Integrated Gas Thailand Pte Ltd and Thai Energy Co Ltd, for $900 million. Shell Integrated Gas Thailand and Thai Energy Co together hold a 22.222% equity stake in the Bongkot field, and adjoining acreage offshore...

    Shell Divests Bongkot Gas Field to KUFPEC for $900 Million Data analysis
    Global Deals

    Shell has reached an agreement with KUFPEC for the sale of subsidiary companies Shell Integrated Gas Thailand Pte Ltd and Thai Energy Co Ltd, for $900 million. Shell Integrated Gas Thailand and Thai Energy Co together hold a 22.222% equity stake in the Bongkot field, and adjoining acreage offshore Thailand consisting of Blocks 15, 16 and 17 and Block G12/48, for $900 million.

    Post-transaction ownership structure of Bongkot Asset: PTTEP (44.445%, operator), Total (33.333%) and KUFPEC (22.222%).

    View Shell press release

  • Chevron Reports $415 Million Net Income in Q4-2016

    Chevron reported earnings of $415 million in Q4-2016, compared with a loss of $588 million in Q4-2015. Full-year 2016 results were a loss of $497 million compared with earnings of $4.6 billion in 2015.The upstream segment reported earnings of $930 million in Q4-2016, against the Q4-2015 loss of $1.36 billion....

    Chevron Reports $415 Million Net Income in Q4-2016
    Headlines, Results & Reports

    Chevron reported earnings of $415 million in Q4-2016, compared with a loss of $588 million in Q4-2015. Full-year 2016 results were a loss of $497 million compared with earnings of $4.6 billion in 2015.

    The upstream segment reported earnings of $930 million in Q4-2016, against the Q4-2015 loss of $1.36 billion. Q4-2016 earnings from the downstream segment fell to $357 million from $1.01 billion in Q4-2015.

    Q4-2016 total revenue and other income was $31.5 billion compared to $29.25 billion in Q4-2015. Total capex in Q4-2016 was $5.26 billion compared to $8.7 billion in Q4-2015.

    View Chevron press release

  • Data analysis AltaGas Acquires WGL Holdings for $6.4 Billion

    AltaGas Ltd has signed a definitive agreement to acquire WGL Holdings in an all cash transaction for approximately $6.4 billion. The combined company is expected to have an enterprise value of approximately $17 billion and approximately $3.4 billion in natural gas rate base assets.Post-transaction, WGL will...

    AltaGas Acquires WGL Holdings for $6.4 BillionData analysis
    Headlines, Global Deals

    AltaGas Ltd has signed a definitive agreement to acquire WGL Holdings in an all cash transaction for approximately $6.4 billion. The combined company is expected to have an enterprise value of approximately $17 billion and approximately $3.4 billion in natural gas rate base assets.

    Post-transaction, WGL will continue to manage its regulated utility business, while also assisting in the management of AltaGas’ US regulated utility business. Including WGL, the new company will have its operations and assets in the United States and Canada. Following the closing of the transaction, WGL’s natural gas utility will continue to be regulated by commissions in the District of Columbia, Maryland, and Virginia, and operate under the Washington Gas brand.

    Under the terms of the transaction, WGL shareholders will receive US$88.25 in cash per WGL share, which represents a premium of 27.9% to WGL’s closing share price on 28-Nov-2016.

    WGL provides natural gas, electricity, green power and energy services, including generation, storage, transportation, distribution, supply and efficiency. With activities and assets across the US, WGL Holdings consists of Washington Gas, WGL Energy Services, WGL Energy Systems, WGL Midstream and Hampshire Gas. AltaGas is a North American diversified energy infrastructure company with a focus on natural gas, power and regulated utilities.

    The transaction is expected to close in Q2-2018.

    View WGL press release

  • Data analysis Halcon Enters into Delaware Basin, Divests Eagle Ford Assets

    Halcon Resources has entered into a Purchase and Sale Agreement with a private operator to acquire 20,748 net acres in the Southern Delaware Basin (the Pecos County Assets) for $705 million, in addition to entering into an option agreement to purchase an additional 15,040 net acres in Ward County, Texas from...

    Halcon Enters into Delaware Basin, Divests Eagle Ford AssetsData analysis
    Global Deals

    Halcon Resources has entered into a Purchase and Sale Agreement with a private operator to acquire 20,748 net acres in the Southern Delaware Basin (the Pecos County Assets) for $705 million, in addition to entering into an option agreement to purchase an additional 15,040 net acres in Ward County, Texas from a private operator for $11,000/Acre (the Ward County Option).

    Halcon has also entered into a Purchase and Sale Agreement to sell its East Texas Eagle Ford assets (El Halcon), which currently are producing approximately net 6 MBOE/d, for $500 million.

    Acquisition Highlights:

    • Attractive acquisition price of ~$20,000/Acre (Assumes $40,000 per BOE/d for current production; adjusted to exclude $55 million of midstream/infrastructure assets related to the Pecos County Assets) (assuming Ward County Option is exercised in full)
    • A significant percentage of the acreage has been de-risked by recent drilling on and around acreage
    • ~85% average working interest and ~90%+ operated
    • >70% oil and ~85% liquids
    • ~700 highly economic gross Wolfcamp A and Wolfcamp B drilling locations (750+ additional upside locations in the 1st, 2nd and 3rd Bone Spring and the Avalon Shale)
    • 12 years of Wolfcamp A and B drilling inventory assuming a 4 rig program (24+ years including upside locations)
    • Largely contiguous acreage position allows for extended lateral development (expected average lateral of >7,500’)
    • Existing infrastructure valued at approximately $55 million with significant additional value opportunities

    The acquisition of the Pecos County Assets and the sale of the El Halcon assets is expected to close by early Mar-2017.

    View Halcon press release

  • Data analysis Plains in $1.2 Billion Delaware Midstream Asset Buy

    Concho Resources and Frontier Midstream Solutions have entered into separate agreements to sell 100% of their respective ownership interests of Alpha Holding Company LLC, the owner of the Alpha Crude Connector system (ACC), to Plains All American Pipeline for a combined total of $1.2 billion.ACC, which is a...

    Plains in $1.2 Billion Delaware Midstream Asset BuyData analysis
    Headlines, Global Deals

    Concho Resources and Frontier Midstream Solutions have entered into separate agreements to sell 100% of their respective ownership interests of Alpha Holding Company LLC, the owner of the Alpha Crude Connector system (ACC), to Plains All American Pipeline for a combined total of $1.2 billion.

    ACC, which is a large-scale crude oil gathering system in the northern Delaware Basin, includes a 515-mile gathering system as well as crude oil storage facilities, truck terminals and multiple receipt points. The pipeline system became operational in late 2015, and at that time, Concho commenced a ten-year crude oil acreage dedication and transportation agreement. After the closing of this transaction, the dedication and transportation agreement, which includes the tariff structure, will remain in place.

    Concho owns 50% of the ACC joint venture with an option to purchase Frontier’s ownership interest at a predetermined multiple of invested capital. After adjusting for debt and working capital, Concho expects to receive net cash proceeds from the sale of approximately $800 million.

    Closing is expected to occur in H1-2017.

    View Concho Resources press release

  • Data analysis Targa Buys Permian Midstream Assets Worth up to $1.5 Billion

    Targa Resources has executed definitive agreements for its subsidiary, Targa Resources Partners LP, to acquire 100% of the membership interests of Outrigger Delaware Operating LLC, Outrigger Southern Delaware Operating LLC (together “Outrigger Delaware") and Outrigger Midland Operating LLC...

    Targa Buys Permian Midstream Assets Worth up to $1.5 BillionData analysis
    Headlines, Global Deals

    Targa Resources has executed definitive agreements for its subsidiary, Targa Resources Partners LP, to acquire 100% of the membership interests of Outrigger Delaware Operating LLC, Outrigger Southern Delaware Operating LLC (together “Outrigger Delaware") and Outrigger Midland Operating LLC (“Outrigger Midland" and together with "Outrigger Delaware", "Outrigger Permian"). Targa will pay initial cash consideration of $565 million for the membership interests.

    The Outrigger Delaware gas gathering and processing and crude gathering assets are located in Loving, Winkler and Ward counties. Outrigger Delaware assets include 70 MMcf/d of processing capacity. Targa plans to connect the Outrigger Delaware assets to Targa's existing Sand Hills system, extending Targa's premier Permian Basin footprint across the Delaware and Midland Basins. Currently, there is 40 Mbbl/d of crude gathering capacity on the Outrigger Delaware system.

    The Outrigger Midland gas gathering and processing and crude gathering assets are located in Howard, Martin and Borden counties. Outrigger Midland currently has 10 MMcf/d of processing capacity, and Targa expects to connect the Outrigger Midland assets to Targa's WestTX system in Martin County. Currently, there is also 40 Mbbl/d of crude gathering capacity on the Outrigger Midland system.

    Subject to certain performance-linked measures based on existing contracts expected at close and other conditions, additional cash of up to $935 million may be received in 2018 and 2019 by the sellers of Outrigger Permian in potential earn-out payments based on realized gross margin. The total potential consideration that could be paid to sellers is up to a maximum of $1.5 billion, which includes the initial consideration of $565 million.

    The transaction is expected to close in Q1-2017.

    View Targa press release

    On 25-Jan-2017, the seller is identified to be Outrigger Energy LLC.

    View Outrigger Energy LLC press release

  • Data analysis ExxonMobil Acquires Permian Assets for $5.6 Billion

    ExxonMobil has acquired companies owned by the Bass family of Fort Worth, Texas, with an estimated resource of 3.4 BBOE in New Mexico’s Delaware Basin. ExxonMobil will make an upfront payment of $5.6 billion in ExxonMobil shares, and a series of additional contingent cash payments totaling up to $1...

    ExxonMobil Acquires Permian Assets for $5.6 BillionData analysis
    Headlines, Global Deals

    ExxonMobil has acquired companies owned by the Bass family of Fort Worth, Texas, with an estimated resource of 3.4 BBOE in New Mexico’s Delaware Basin. ExxonMobil will make an upfront payment of $5.6 billion in ExxonMobil shares, and a series of additional contingent cash payments totaling up to $1 billion, to be paid beginning in 2020 and ending no later than 2032 commensurate with the development of the resource.

    The acquired companies, which include the operating entity BOPCO, hold about 275,000 acres of leasehold, and production of more than net 18 MBOE/d (70% liquids). This includes about 250,000 acres of leasehold in the Permian Basin, the bulk of that in contiguous, held-by-production units in the New Mexico Delaware Basin, with more than 60 BBOE estimated in place. The companies also hold producing acreage in other areas in the United States.

    View ExxonMobil press release

  • Data analysis Tullow Makes Oil Discovery at Erut-1 Well, Kenya

    Tullow Oil has discovered oil at Erut-1 well in Block 13T, Northern Kenya.The well, drilled by the PR Marriott Rig-46 to a final depth of 1,317m, encountered a gross oil interval of 55m with 25m of net oil pay at a depth of 700m. The overall oil column for the field is considered to be 100-125m.The objective...

    Tullow Makes Oil Discovery at Erut-1 Well, KenyaData analysis
    Exploration

    Tullow Oil has discovered oil at Erut-1 well in Block 13T, Northern Kenya.

    The well, drilled by the PR Marriott Rig-46 to a final depth of 1,317m, encountered a gross oil interval of 55m with 25m of net oil pay at a depth of 700m. The overall oil column for the field is considered to be 100-125m.

    The objective of the well was to test a structural trap at the northern limit of the South Lokichar basin. Fluid samples taken and wireline logging all indicate the presence of recoverable oil. Erut-1 successfully shows that oil has migrated to the northern limit of the South Lokichar basin and has de-risked multiple prospects in this area.

    Ownership of Block 13T: Tullow Oil (50%, operator), Africa Oil Corporation (25%) and Maersk Oil (25%).

    View Tullow press release

  • Statoil Makes Discovery at Cape Vulture Well, Norwegian SeaData analysis
    Exploration

    Statoil has discovered oil and gas at Cape Vulture exploration well in the license 128, located north-west of Norne discovery, Norwegian Sea. Recoverable reserves are initially estimated at between 20-80 MMBOE.

    Ownership of license 128: Statoil (64%, operator), Petoro (24.5%) and ENI (11.5%).

    View Statoil press release

  • Data analysis Noble Energy to Acquire Clayton Williams for $3.2 Billion

    Noble Energy and Clayton Williams Energy have executed a definitive agreement under which Noble Energy will acquire all of the outstanding common stock of Clayton Williams Energy.Clayton Williams Energy shareholders will receive 2.7874 shares of Noble Energy common stock and $34.75 in cash for each share of...

    Noble Energy to Acquire Clayton Williams for $3.2 BillionData analysis
    Headlines, Global Deals

    Noble Energy and Clayton Williams Energy have executed a definitive agreement under which Noble Energy will acquire all of the outstanding common stock of Clayton Williams Energy.

    Clayton Williams Energy shareholders will receive 2.7874 shares of Noble Energy common stock and $34.75 in cash for each share of common stock held. In the aggregate, this totals 55 million shares of Noble Energy stock and $665 million in cash. The value of the transaction, based on Noble Energy's closing stock price as of 13-Jan-2017, is approximately $139 per Clayton Williams Energy share, or $3.2 billion in the aggregate, including the assumption of approximately $500 million in net debt. The per share consideration represents a 21% premium to the average closing share price of Clayton Williams Energy over the past 30 days, and a 34% premium to the price on 13-Jan-2017, the last day of trading prior to the transaction.

    Acquisition Highlights:

    • 71,000 highly contiguous net acres in the core of the Southern Delaware Basin in Reeves and Ward counties in Texas (directly adjacent to Noble Energy's existing 47,200 net acres). In addition, there are an additional 100,000 net acres in other areas of the Permian Basin
    • 80% average working interest in the Southern Delaware position, with more than 95% of the acreage operated
    • 2,400 Delaware Basin gross drilling locations identified, targeting the Upper and Lower Wolfcamp A zones, along with the Wolfcamp B and C. The average lateral length of the future locations is 8,000 ft
    • Total estimated net unrisked resource potential on the acreage of over 1 BBOE in the Wolfcamp zones, with significant upside potential in other zones
    • Noble Energy's outlook is to increase production on the acquired assets from 10 MBOE/d currently (70% oil) to approximately 60 MBOE/d in 2020 in the Company's base plan
    • Highly competitive economics, with Wolfcamp A wells (estimated ultimate recovery of 1.0 MMBOE for a 7,500 ft lateral) generating approximately 60% to 90% before-tax rate of return at base and upside plan pricing, respectively
    • The acquired Delaware Basin acreage is largely undedicated to third-party oil and gas gathering and water systems, and approximately 12,500 acres are dedicated from a third-party operator
    • Existing midstream Delaware Basin assets include over 300 miles of oil, natural gas, and produced water gathering pipelines (over 100 miles for each product)

    The transaction is expected to close in Q2-2017.

    View Noble press release

  • Data analysis ExxonMobil Makes Discovery at Payara-1 Well, Off Guyana

    ExxonMobil, through its affiliate Esso Exploration and Production Guyana Limited, has made a discovery at Payara-1 well, located on the Stabroek Block, approximately 16 km north-west of the Liza discovery, offshore Guyana.The well, drilled to a depth of 18,080 ft (5,512m) in 6,660 ft (2,030m) of water,...

    ExxonMobil Makes Discovery at Payara-1 Well, Off GuyanaData analysis
    Exploration

    ExxonMobil, through its affiliate Esso Exploration and Production Guyana Limited, has made a discovery at Payara-1 well, located on the Stabroek Block, approximately 16 km north-west of the Liza discovery, offshore Guyana.

    The well, drilled to a depth of 18,080 ft (5,512m) in 6,660 ft (2,030m) of water, encountered more than 95 ft (29m) of high-quality, oil-bearing sandstone reservoirs.

    Ownership of Stabroek Block: ExxonMobil (Esso Exploration and Production Guyana Limited) (45%, operator), Hess (30%), and CNOOC Nexen Petroleum (25%).

    View Hess press release

  • Data analysis WPX Energy in $775 Million Delaware Basin Assets Buy

    WPX Energy has agreed to acquire Delaware Basin assets from Panther Energy Company II LLC and Carrier Energy Partners LLC for $775 million.The acquisition includes approximately 6.5 MBOE/d (55% oil) of existing production from 23 producing wells (17 horizontals), two drilled but uncompleted horizontal...

    WPX Energy in $775 Million Delaware Basin Assets BuyData analysis
    Global Deals

    WPX Energy has agreed to acquire Delaware Basin assets from Panther Energy Company II LLC and Carrier Energy Partners LLC for $775 million.

    The acquisition includes approximately 6.5 MBOE/d (55% oil) of existing production from 23 producing wells (17 horizontals), two drilled but uncompleted horizontal laterals, 18,100 net acres in Reeves, Loving, Ward and Winkler counties in Texas and 920 gross undeveloped locations in the geologic sweet spot of the Delaware Basin.

    Acquisition Highlights:

    • Projected IRR on wells ranging from 55%-95% at current strip pricing
    • Estimated acreage cost excluding flowing production is ~$28,500 per acre
    • Transaction valued primarily on three zones with upside in five additional zones
    • EUR’s of ~1.0 MMBOE for Wolfcamp A and X/Y 1-mile laterals (55% oil)
    • Increases WPX’s total gross drillable Delaware locations from ~5,500 to ~6,400
    • New drillable locations include more than 150 long laterals (1.5-2 miles)
    • Increases WPX’s growth trajectory for 2017-2020
    • Offset operators: RSP Permian, Anadarko, Shell, Matador, Cimarex, Concho and Centennial

    View WPX Energy press release

  • Data analysis Anadarko Divests Eagle Ford Assets for $2.3 Billion

    Anadarko Petroleum has agreed to sell its Eagle Ford Shale assets in South Texas for approximately $2.3 billion to Sanchez Energy Corporation and Blackstone Group LP.The divestiture includes approximately 155,000 net acres primarily located in Dimmit and Webb counties. At the end of Q4-2016, sales volumes...

    Anadarko Divests Eagle Ford Assets for $2.3 BillionData analysis
    Headlines, Global Deals

    Anadarko Petroleum has agreed to sell its Eagle Ford Shale assets in South Texas for approximately $2.3 billion to Sanchez Energy Corporation and Blackstone Group LP.

    The divestiture includes approximately 155,000 net acres primarily located in Dimmit and Webb counties. At the end of Q4-2016, sales volumes from these properties totaled approximately 45 Mbbl/d and approximately 131 MMcf/d of natural gas.

    Anadarko's sponsored master limited partnership, Western Gas Partners LP, will continue to own and operate its midstream assets in South Texas and is expected to benefit from drilling commitments made by the buyers in conjunction with this transaction.

    The transaction is expected to close in Q1-2017.

    View Anadarko press release

  • Parsley Acquires Midland Basin And Delaware Basin AssetsData analysis
    Global Deals

    Parsley Energy has entered into agreements to acquire, in unrelated transactions, certain undeveloped acreage and producing oil and gas properties located adjacent to the company's existing operating areas in the Midland and Southern Delaware Basins for an aggregate purchase price of $607 million in cash. Parsley Energy has also acquired certain mineral interests in the Southern Delaware Basin for an aggregate purchase price of $43 million.

    Acquisition Highlights:

    • Approximately 23,000 net leasehold acres
    • Estimated current net production of approximately 2.3 MBOE/d
    • Approximately 340 net horizontal drilling locations in primary target intervals (Wolfcamp A, Wolfcamp B, Lower Spraberry, and Bone Spring formations)
    • Approximately 660 net royalty acres

    Midland Basin acquired assets:

    • Approximately 25,200 gross/17,800 net leasehold acres in Upton, Reagan, Glasscock, and Midland Counties, TX for approximately $402 million
    • Estimated current net production of approximately 1.2 MBOE/d
    • Approximately 230 net horizontal drilling locations in the Wolfcamp A, Wolfcamp B, and Lower Spraberry target intervals, with additional locations in less developed intervals and potential upside from tighter spacing and additional flow units in primary target intervals
    • Those transactions not yet closed are scheduled to close on or before 27-Feb-2017

    Southern Delaware Basin acquired assets:

    • Approximately 6,600 gross/5,200 net acres in Reeves, Pecos, and Ward Counties, TX for approximately $205 million
    • Estimated current net production of approximately 1.1 MBOE/d
    • Approximately 110 net horizontal drilling locations in the upper Wolfcamp and 2nd and 3rd Bone Spring target intervals, with potential upside from tighter spacing and additional target intervals
    • Mineral rights translating to a 17% average royalty interest in approximately 3,900 net acres, or approximately 660 net royalty acres, in Reeves and Pecos Counties, TX for approximately $43 million
    • Those transactions not yet closed are scheduled to close on or before 31-Jan-2017

    View Parsley press release

  • Data analysis Total Buys 21.57% Stake in Uganda Lake Albert Oil Project

    Total and Tullow have entered into a package agreement under which Total will acquire an additional 21.57% interest from Tullow in the Uganda Lake Albert oil project for $900 million.The purchase consideration of $900 million to be paid by Total to Tullow represents a reimbursement of a portion of past costs,...

    Total Buys 21.57% Stake in Uganda Lake Albert Oil ProjectData analysis
    Global Deals

    Total and Tullow have entered into a package agreement under which Total will acquire an additional 21.57% interest from Tullow in the Uganda Lake Albert oil project for $900 million.

    The purchase consideration of $900 million to be paid by Total to Tullow represents a reimbursement of a portion of past costs, payable in installments along the development of the project, with an initial payment of $100 million at closing.

    Following this transaction, Total will hold a 54.9% interest in the Uganda Lake Albert oil project. Under the terms of the deal, Total will acquire 21.57% out of Tullow’s existing 33.33% stake in all of the Lake Albert project licenses EA1, EA1A, EA2 and EA3A. Total, which is already operator of licenses EA1 and EA1A, will in addition take over operatorship from Tullow of license EA2.  

    View Total press release

  • Data analysis DCP Midstream LLC Merges with DCP Midstream Partners

    DCP Midstream LLC, a 50/50 joint venture between Phillips 66 and Spectra Energy (Owners), and DCP Midstream Partners LP (DPM) have signed and closed a transaction combining all of the assets and debt of DCP Midstream with DPM. The combined company, with a pro-forma enterprise value of approximately $11...

    DCP Midstream LLC Merges with DCP Midstream PartnersData analysis
    Headlines, Global Deals

    DCP Midstream LLC, a 50/50 joint venture between Phillips 66 and Spectra Energy (Owners), and DCP Midstream Partners LP (DPM) have signed and closed a transaction combining all of the assets and debt of DCP Midstream with DPM. The combined company, with a pro-forma enterprise value of approximately $11 billion, will be renamed DCP Midstream LP.

    Under terms of the transaction, DCP Midstream has contributed subsidiaries owning all of its assets to DPM, plus $424 million of cash, in exchange for approximately 31.1 million DPM units ($1.125 billion) and DPM assuming $3.15 billion of DCP Midstream debt. The Owners have retained their 50/50 joint ownership of DCP Midstream LLC, which owns 38% of the outstanding DPM general and limited partner units. The transaction will increase Phillips 66 and Spectra Energy’s ownership in DPM to 38%.

    The combination brings together DPM’s existing assets with DCP Midstream’s premier assets in the Delaware and Permian basins, the DJ Basin and the Midcontinent, as well as an additional one-third interest in both Sand Hills and Southern Hills NGL pipelines.

    View DCP Midstream Partners press release

  • Data analysis SM Energy Sells Eagle Ford Assets for $800 Million

    SM Energy has entered into a definitive agreement with a subsidiary of Venado Oil and Gas LLC, an affiliate of KKR, for the sale of the SM Energy’s third party operated assets in the Eagle Ford, including its ownership interest in related midstream assets, for a purchase price of $800 million.The assets...

    SM Energy Sells Eagle Ford Assets for $800 MillionData analysis
    Global Deals

    SM Energy has entered into a definitive agreement with a subsidiary of Venado Oil and Gas LLC, an affiliate of KKR, for the sale of the SM Energy’s third party operated assets in the Eagle Ford, including its ownership interest in related midstream assets, for a purchase price of $800 million.

    The assets expected to be sold include approximately 37,500 net acres in the Maverick Basin/Eagle Ford area of south Texas and a 12.5% interest in the Springfield Gathering System. As of year-end 2015, net proved reserves associated with these assets were 65 MMBOE (38% oil, 31% natural gas and 31% NGLs). In Q3-2016, these assets produced approximately net 27.3 MBOE/d (33% oil, 33% natural gas and 34% NGLs). The transaction is expected to close in Q1-2017, with an effective date of 1-Nov-2016.

    View SM Energy press release

  • Data analysis Shell Drills Two Dusters, Off Tanzania

    Shell has concluded the drilling of two exploration wells, Kitatange-1 in Block 1 and Bunju-1 in Block 4, offshore Tanzania. After evaluation, Shell has confirmed that good quality reservoir was encountered in both wells, however hydrocarbons were not found.The two wells fulfill the final exploration...

    Shell Drills Two Dusters, Off TanzaniaData analysis
    Exploration

    Shell has concluded the drilling of two exploration wells, Kitatange-1 in Block 1 and Bunju-1 in Block 4, offshore Tanzania. After evaluation, Shell has confirmed that good quality reservoir was encountered in both wells, however hydrocarbons were not found.

    The two wells fulfill the final exploration commitments as per the exploration licences issued by the Ministry of Energy and Minerals (MEM).

    View Ophir press release

    Ownership of Block 1 and Block 4: Shell (60%, operator), Ophir (20%) and Pavilion (20%).

  • Data analysis Oil Search Makes Discovery at Muruk-1 Well, PNG

    Oil Search has discovered hydrocarbons at Muruk-1 well in PPL 402, Papua New Guinea.The well was drilled to a total depth of 3,130m, and had encountered gas and condensate within the primary target Toro formation.Ownership of PPL 402: Oil Search (37.5%, operator), ExxonMobil affiliate (42.5%) and Santos...

    Oil Search Makes Discovery at Muruk-1 Well, PNGData analysis
    Exploration

    Oil Search has discovered hydrocarbons at Muruk-1 well in PPL 402, Papua New Guinea.

    The well was drilled to a total depth of 3,130m, and had encountered gas and condensate within the primary target Toro formation.

    Ownership of PPL 402: Oil Search (37.5%, operator), ExxonMobil affiliate (42.5%) and Santos (20%).

    View Santos press release

  • Data analysis Woolworths to Sell Fuel Business for $1.3 Billion

    Woolworths Limited has entered into binding agreements to facilitate the sale of its 527 Woolworths-owned fuel convenience sites and 16 committed development sites (Fuel Business) to BP for A$1.8 billion (US$1.3 billion).The completion is expected to occur no earlier than 2-Jan-2018.View Woolworths press...

    Woolworths to Sell Fuel Business for $1.3 BillionData analysis
    Headlines, Global Deals

    Woolworths Limited has entered into binding agreements to facilitate the sale of its 527 Woolworths-owned fuel convenience sites and 16 committed development sites (Fuel Business) to BP for A$1.8 billion (US$1.3 billion).

    The completion is expected to occur no earlier than 2-Jan-2018.

    View Woolworths press release

  • Data analysis Total Buys Upstream and Downstream Assets from Petrobras

    Total and Petrobras signed today an Assets Package Agreement which reinforces the joint partnership and cooperation between the two companies, in the upstream and downstream sectors, covering operations, research and technology.Total will become partner to Petrobras in two high-quality pre-salt licenses of...

    Total Buys Upstream and Downstream Assets from PetrobrasData analysis
    Headlines, Global Deals

    Total and Petrobras signed today an Assets Package Agreement which reinforces the joint partnership and cooperation between the two companies, in the upstream and downstream sectors, covering operations, research and technology.

    Total will become partner to Petrobras in two high-quality pre-salt licenses of the prolific Santos basin: the BMS-11 with the Lara fields currently under development where Total will acquire a 22.5% interest from Petrobras, and in the BMS-9 with the Lapa field, where Total will become the operator of the license with the acquisition of a 35% interest from Petrobras. Total will also offer to Petrobras the option of taking a 20% stake in the Perdido Belt deep-water exploration Block 2 recently awarded in Mexico.

    Total will acquire from Petrobras some regasification capacity in the Bahia LNG terminal and a 50% interest in two co-generation plants located in the Bahia area as well as pipeline transport capacity.

    Under the terms of this assets package deal, the acquisition of the upstream and downstream interests in Brazil from Petrobras will represent a global value of around $2.2 billion dollars, made of cash, carry and contingent payments.

    View Total press release

  • Data analysis Anadarko Sells Marcellus Assets for $1.24 Billion

    Anadarko Petroleum has agreed to sell its operated and non-operated upstream assets and operated midstream assets in the Marcellus shale of north-central Pennsylvania to Alta Marcellus Development LLC, a wholly owned subsidiary of Alta Resources Development LLC, for approximately $1.24 billion.The Marcellus...

    Anadarko Sells Marcellus Assets for $1.24 BillionData analysis
    Headlines, Global Deals

    Anadarko Petroleum has agreed to sell its operated and non-operated upstream assets and operated midstream assets in the Marcellus shale of north-central Pennsylvania to Alta Marcellus Development LLC, a wholly owned subsidiary of Alta Resources Development LLC, for approximately $1.24 billion.

    The Marcellus shale divestiture includes approximately 195,000 net acres and, at the end of Q3-2016, sales volumes from these properties totaled approximately 470 MMcf/d.

    The transaction is expected to close during Q1-2017.

    View Anadarko press release

  • Data analysis BP Acquires Interests in Mauritania and Senegal Blocks

    BP has signed agreements with Kosmos Energy to acquire a 62% working interest, including operatorship, of Kosmos’ exploration blocks in Mauritania and a 32.49% effective working interest in Kosmos’ Senegal exploration blocks. BP will invest nearly $1 billion mostly in the form of a multi-year...

    BP Acquires Interests in Mauritania and Senegal BlocksData analysis
    Headlines, Global Deals

    BP has signed agreements with Kosmos Energy to acquire a 62% working interest, including operatorship, of Kosmos’ exploration blocks in Mauritania and a 32.49% effective working interest in Kosmos’ Senegal exploration blocks. BP will invest nearly $1 billion mostly in the form of a multi-year exploration and development carry to acquire a 62% interest and operatorship of offshore Blocks C-6, C-8, C-12 and C-13 in Mauritania and an effective 32.49% interest in the Saint-Louis Profond and Cayar Profond blocks in Senegal.

    The acquired blocks, covering approximately 33,000 sq km of acreage, includes the Tortue field which is estimated to contain more than 15 Tcf of discovered gas resources. The total acreage, by Kosmos’ estimates, could contain roughly 50 Tcf of gas resource potential and in excess of 1 Bbbl of liquids resource potential.

    Under the terms of the agreements, Kosmos will remain the technical operator for the exploration phase of the project and drill three new exploration wells beginning in 2017. In addition to the existing blocks, the companies have agreed to cooperate in areas of mutual interest in offshore Mauritania, Senegal and The Gambia with Kosmos acting as the exploration operator and BP as the development operator.

    Under the terms of the agreements, BP will pay Kosmos a cash bonus of $162 million on completion. Moving forward, BP will carry Kosmos’ exploration and appraisal costs of $221 million along with Kosmos’ development costs of $533 million, including front-end engineering and design studies.

    The agreements are expected to close by Q1-2017.

    View BP press release

  • Data analysis ExxonMobil Comes Up Dry at Mesurado-1 Well, Off Liberia

    ExxonMobil, through its affiliate ExxonMobil Exploration and Production Liberia Limited, has drilled Mesurado-1 well to the total depth, but has failed to discover hydrocarbons. The well is located about 50 miles offshore Liberia on Block LB-13.The well was drilled by the Drillship Seadrill West Saturn, in...

    ExxonMobil Comes Up Dry at Mesurado-1 Well, Off LiberiaData analysis
    Exploration

    ExxonMobil, through its affiliate ExxonMobil Exploration and Production Liberia Limited, has drilled Mesurado-1 well to the total depth, but has failed to discover hydrocarbons. The well is located about 50 miles offshore Liberia on Block LB-13.

    The well was drilled by the Drillship Seadrill West Saturn, in approximately 2,500m of water. The well, targeting oil in a sequence of Late Cretaceous Santonian aged sands, intersected 145m (475 ft) of net sand of which 118m (387 ft) was deemed to be reservoir quality. No hydrocarbons were indicated by the logging while drilling operations performed across the targeted intervals. No further logging operations will be conducted and the well will be plugged and abandoned.

    View Canadian Overseas Petroleum press release

    Ownership of Block LB-13: ExxonMobil (83%, operator) and Canadian Overseas Petroleum Ltd (17%).

  • Data analysis Quadrant Finds Hydrocarbons at Phoenix South-2 Well

    Quadrant Energy has discovered hydrocarbons at Phoenix South-2 well, located within the WA-435-P exploration permit in the North-West Shelf of Australia.The well has penetrated a definitive hydrocarbon-bearing interval at or near the primary Caley target. The well drilled an estimated 39m hydrocarbon-bearing...

    Quadrant Finds Hydrocarbons at Phoenix South-2 WellData analysis
    Exploration

    Quadrant Energy has discovered hydrocarbons at Phoenix South-2 well, located within the WA-435-P exploration permit in the North-West Shelf of Australia.

    The well has penetrated a definitive hydrocarbon-bearing interval at or near the primary Caley target. The well drilled an estimated 39m hydrocarbon-bearing zone between approximately 5,176-5,215m, with significant gas influx and elevated reservoir pore pressures.

    The well was unable to assess as much as 185m of additional potential hydrocarbon bearing Caley reservoir beneath 5,215m due to the higher than anticipated pressures being encountered.

    Ownership of WA-435-P: Quadrant Energy (80%, operator) and Carnarvon Petroleum (20%).

    View Carnarvon press release

  • Data analysis Anadarko Makes Oil Discovery at Warrior Well, GoM

    Anadarko has made a hydrocarbon discovery in the Warrior exploratory well, located in the Green Canyon area in the US Gulf of Mexico.The well was drilled to a total depth of 26,957 ft (8,216m) in water depths of 4,144 ft (1,263m). The Warrior exploratory well encountered more than 210 net feet (64 m) of oil...

    Anadarko Makes Oil Discovery at Warrior Well, GoMData analysis
    Exploration

    Anadarko has made a hydrocarbon discovery in the Warrior exploratory well, located in the Green Canyon area in the US Gulf of Mexico.

    The well was drilled to a total depth of 26,957 ft (8,216m) in water depths of 4,144 ft (1,263m). The Warrior exploratory well encountered more than 210 net feet (64 m) of oil pay in multiple high-quality Miocene-aged reservoirs.

    Ownership of Warrior well: Anadarko Petroleum (65%, operator), Ecopetrol (20%) and MCX Exploration (USA) LLC (15%).

    View Ecopetrol press release

  • Data analysis BP to Acquire 10% Interest in ADCO Concession

    BP today signed an agreement with the Supreme Petroleum Council of the Emirate of Abu Dhabi and the Abu Dhabi National Oil Company (ADNOC) to acquire 10% interest in Abu Dhabi’s ADCO onshore oil concession. In addition to the interest in the ADCO concession, BP becomes a 10% shareholder in ADCO, the Abu...

    BP to Acquire 10% Interest in ADCO ConcessionData analysis
    Headlines, Global Deals

    BP today signed an agreement with the Supreme Petroleum Council of the Emirate of Abu Dhabi and the Abu Dhabi National Oil Company (ADNOC) to acquire 10% interest in Abu Dhabi’s ADCO onshore oil concession. In addition to the interest in the ADCO concession, BP becomes a 10% shareholder in ADCO, the Abu Dhabi Company for Onshore Petroleum Operations Limited, which operates the concession. The agreement includes BP becoming asset leader for the Bab asset group within the concession.

    In connection with the transaction, BP has agreed to issue new ordinary shares representing approximately 2% of BP’s issued share capital (excluding treasury shares), to be held on behalf of the Abu Dhabi Government.

    The ADCO concession, including the Bab, Bu Hasa, Shah and Asab fields, has total resources of between 20-30 BBOE over the term of the concession. The overall production in 2016 is expected to average around 1.66 MMbbl/d.

    View BP press release

  • Data analysis Diamondback Buys Delaware Basin Assets for $2.43 Billion

    Diamondback Energy has entered into a definitive purchase agreement to acquire all leasehold interests and related assets of Brigham Resources Operating LLC and Brigham Resources Midstream LLC for an aggregate purchase price of $2.43 billion, consisting of $1.62 billion in cash and 7.69 million shares of...

    Diamondback Buys Delaware Basin Assets for $2.43 BillionData analysis
    Headlines, Global Deals

    Diamondback Energy has entered into a definitive purchase agreement to acquire all leasehold interests and related assets of Brigham Resources Operating LLC and Brigham Resources Midstream LLC for an aggregate purchase price of $2.43 billion, consisting of $1.62 billion in cash and 7.69 million shares of Diamondback common stock. 

    Acquisition Highlights:

    • 76,319 net leasehold acres in the highest oil content region of the Delaware Basin, which has been de-risked by 48 producing horizontal wells on the acreage
    • Mineral interests comprised of 1,149 net royalty acres under leasehold acres
    • Nov-2016 average net production of 9.482 MBOE/d (77% oil)
    • 1,213 net identified potential horizontal drilling locations across four proven zones with additional upside potential in multiple other zones and via downspacing
    • Contiguous position supports average lateral lengths of approximately 8,000 ft based on current leasehold, with multiple opportunities to increase lateral lengths
    • Significant operating control with approximately 83% of acreage operated and over 81% working interest
    • Existing infrastructure valued at approximately $50 million; future upside from midstream development
    • Immediately accretive on acreage and financial metrics

    The transaction is anticipated to close at the end of Feb-2017.

    View Diamondback press release

  • Data analysis Gulfport in $1.85 Billion SCOOP Assets Buy

    Gulfport Energy has entered into a definitive agreement with Vitruvian II Woodford LLC, a portfolio company of Quantum Energy Partners, to acquire approximately 46,400 net surface acres in the core of the SCOOP, including approximately 183 MMcfe/d of net production for Oct-2016 for a total purchase price of...

    Gulfport in $1.85 Billion SCOOP Assets BuyData analysis
    Headlines, Global Deals

    Gulfport Energy has entered into a definitive agreement with Vitruvian II Woodford LLC, a portfolio company of Quantum Energy Partners, to acquire approximately 46,400 net surface acres in the core of the SCOOP, including approximately 183 MMcfe/d of net production for Oct-2016 for a total purchase price of $1.85 billion.

    The total purchase price of $1.85 billion consists of $1.35 billion in cash and approximately 18.8 million in shares of Gulfport common stock privately placed to the sellers.

    Acquisition highlights:

    • Substantially contiguous acreage position totaling approximately 85,000 net effective acres, which includes rights to 46,400 Woodford acres and 38,600 Springer acres, in Grady, Stephens and Garvin Counties, Oklahoma, with approximately 80% held by production
    • Stacked-pay potential with approximately 1,750 gross drilling locations, including over 775 gross locations with internal rates of return of approximately 75%, targeting the Woodford and Springer intervals with significant upside potential through infill drilling and additional prospective zones
    • Existing production of approximately 183 MMcfe/d in the month of Oct-2016
    • Total estimated proved reserves at 30-Sep-2016 were 1.1 Tcfe

    The transaction also includes 48 producing horizontal wells and an additional interest in over 150 non-operated horizontal wells

    The acquisition is expected to close in Feb-2017.

    View Gulfport Energy press release

  • Data analysis Callon in $615 Million Southern Delaware Basin Assets Buy

    Callon Petroleum has entered into a definitive agreement to acquire certain undeveloped acreage and producing oil and gas properties for total consideration of $615 million in cash from American Resource Development LLC, American Resource Development Upstream LLC, and American Resource Development Midstream...

    Callon in $615 Million Southern Delaware Basin Assets BuyData analysis
    Global Deals

    Callon Petroleum has entered into a definitive agreement to acquire certain undeveloped acreage and producing oil and gas properties for total consideration of $615 million in cash from American Resource Development LLC, American Resource Development Upstream LLC, and American Resource Development Midstream LLC.

    Key attributes of the acquisition include:

    • Approximately 27,552 gross (16,098 net) surface acres, centered around a contiguous position in Ward County, Texas, with additional acreage in Pecos and Reeves Counties, Texas
    • Current net production of approximately 1.945 MBOE/d (71% oil) for the month of Oct-2016 based on information provided by the seller, including production from 20 gross operated horizontal wells currently producing from the Wolfcamp and Bone Spring formations
    • Estimated delineated base inventory of 481 gross (206 net) identified horizontal drilling locations targeting the Wolfcamp A and B zones with an average lateral length of approximately 7,500 ft, including 36% of the inventory comprised of 10,000 ft laterals
    • Additional potential horizontal drilling locations from both delineated and emerging prospective zones in the Wolfcamp and Bone Spring formations
    • Established infrastructure ownership, including five salt water disposal wells and over 13 miles of gathering lines and gas lift return lines
    • An agreement to acquire up to an additional 1,006 net acres in Ward County, mutually identified by Callon and Ameredev, if such leasehold acquisitions are consummated prior to closing of the Ameredev acquisition

    The acquisition is expected to close on or before 13-Feb-2017.

    View Callon press release

  • Data analysis Patterson-UTI Acquires Seventy Seven Energy

    Patterson-UTI Energy and Seventy Seven Energy have entered into a definitive merger agreement pursuant to which Patterson-UTI will acquire Seventy Seven for approximately $1.76 billion in an all-stock transaction. Under the terms of the transaction, Patterson-UTI will acquire all of the issued and...

    Patterson-UTI Acquires Seventy Seven EnergyData analysis
    Headlines, Global Deals

    Patterson-UTI Energy and Seventy Seven Energy have entered into a definitive merger agreement pursuant to which Patterson-UTI will acquire Seventy Seven for approximately $1.76 billion in an all-stock transaction. 

    Under the terms of the transaction, Patterson-UTI will acquire all of the issued and outstanding shares of common stock of Seventy Seven Energy, in exchange for approximately 49.6 million shares of common stock of Patterson-UTI. The transaction values Seventy Seven Energy at approximately $1.76 billion, assuming the issuance of 49.6 million shares of Patterson-UTI common stock at today's closing price of $28.67, plus approximately $336 million of Seventy Seven Energy's debt net of cash and warrant proceeds. Assuming that the in-the-money Seventy Seven Energy warrants are exercised for cash, the exchange ratio would be approximately 1.7725 shares of Patterson-UTI common stock for each share of Seventy Seven Energy common stock, and shareholders of Seventy Seven Energy would own approximately 25% of the combined company.

    Seventy Seven Energy provides a wide range of wellsite services and equipment to US land-based exploration and production customers. Seventy Seven Energy's services include drilling, hydraulic fracturing and oilfield rentals and its operations are geographically diversified across many of the most active oil and natural gas plays in the onshore US, including the Anadarko and Permian basins and the Eagle Ford, Haynesville, Marcellus, Niobrara and Utica shales.

    The transaction is expected to close late in Q1-2017.

    View Patterson-UTI press release

  • Data analysis Sinopec to Sell 50% Stake in Sichuan-East China Gas Pipeline

    Sinopec Natural Gas Co Ltd (Natural Gas Company), a wholly-owned subsidiary of China Petroleum & Chemical Corporation (Sinopec Corp or the Company), has entered into the Capital Injection Agreement with China Life Insurance Company Limited and SDIC Communications Holding Co Ltd to sell 50% interest in...

    Sinopec to Sell 50% Stake in Sichuan-East China Gas PipelineData analysis
    Headlines, Global Deals

    Sinopec Natural Gas Co Ltd (Natural Gas Company), a wholly-owned subsidiary of China Petroleum & Chemical Corporation (Sinopec Corp or the Company), has entered into the Capital Injection Agreement with China Life Insurance Company Limited and SDIC Communications Holding Co Ltd to sell 50% interest in Sinopec Sichuan to East China Gas Pipeline Co Ltd (Pipeline Company), a wholly-owned subsidiary of the Natural Gas Company for an aggregate amount of RMB22.8 billion (US$6.6 billion).

    Upon completion, the Natural Gas Company will hold 50% equity interest in the Pipeline Company, while China Life and SDIC Communications will hold 43.86% and 6.14% equity interest in the Pipeline Company, respectively.

    China Life Insurance Company Limited holds 2.8% equity interest in and appointed a company supervisor to Sinopec Marketing Co Ltd, a subsidiary of Sinopec Corp.

    SDIC Communications is a wholly-owned subsidiary of the State Development and Investment Corporation. SDIC Communications had equity participation or controlling interest in about 20 ports and more than 3,500 km of trunk railways.

    View Sinopec press release

  • Data analysis Eni Sells 30% Stake in Zohr to Rosneft

    Eni has agreed to sell to Rosneft a 30% participating interest in the Shourouk Concession, offshore Egypt, where the supergiant gas field Zohr is located.Eni, through its subsidiary IEOC, currently holds a 90% stake in the block following the recent dilution of 10% to BP which completion is ongoing.The agreed...

    Eni Sells 30% Stake in Zohr to RosneftData analysis
    Headlines, Global Deals

    Eni has agreed to sell to Rosneft a 30% participating interest in the Shourouk Concession, offshore Egypt, where the supergiant gas field Zohr is located.

    Eni, through its subsidiary IEOC, currently holds a 90% stake in the block following the recent dilution of 10% to BP which completion is ongoing.

    The agreed conditions include a consideration of $1.1 billion, and the pro quota reimbursement of past expenditures, which amount so far at approximately $450 million. In addition, Rosneft has an option to buy a further 5% stake under the same terms.

    View Eni press release

  • Data analysis Glencore, Qatar Investment Acquire 19.5% Stake in Rosneft

    The consortium of Glencore and Qatar Investment Authority (QIA) has acquired a 19.5% interest in the issued share capital of Rosneft for €10.2 billion (US$10.96 billion).Under the proposed arrangements, Glencore would commit €300 million in equity with the balance of the consideration for the...

    Glencore, Qatar Investment Acquire 19.5% Stake in RosneftData analysis
    Headlines, Global Deals

    The consortium of Glencore and Qatar Investment Authority (QIA) has acquired a 19.5% interest in the issued share capital of Rosneft for €10.2 billion (US$10.96 billion).

    Under the proposed arrangements, Glencore would commit €300 million in equity with the balance of the consideration for the acquisition of the shares to be provided by QIA and by non-recourse bank financing.

    The other material terms of the proposed transaction for Glencore are:

    • New five year offtake agreement with Rosneft representing a sizeable additional 220 Mbbl/d for the Glencore Marketing business
    • Additional opportunities, through a strategic partnership for further cooperation, including infrastructure, logistics and global trading
    • Other than the economic exposure represented by the Glencore Equity, (amounting to a c.0.54% indirect equity interest in Rosneft), Glencore would not have any economic exposure to its interests in the shares

    The transaction is expected to close in mid Dec-2016.

    View Glencore press release

  • Data analysis Centennial Acquires Reeves County Assets for $855 Million

    Centennial Resource Development Inc together with its affiliates (CDEV) has agreed to acquire 100% of the leasehold interests and related upstream assets in Reeves County from Silverback Exploration LLC for $855 million.On 21-Nov-2016, an affiliate of Riverstone Holdings LLC entered into a purchase agreement...

    Centennial Acquires Reeves County Assets for $855 MillionData analysis
    Global Deals

    Centennial Resource Development Inc together with its affiliates (CDEV) has agreed to acquire 100% of the leasehold interests and related upstream assets in Reeves County from Silverback Exploration LLC for $855 million.

    On 21-Nov-2016, an affiliate of Riverstone Holdings LLC entered into a purchase agreement with Silverback to acquire 100% of its leasehold interests and related upstream assets in Reeves County for an aggregate purchase price of $855 million in cash, subject to certain adjustments. On 27-Nov-2016, Riverstone and Centennial entered into an agreement to assign, under which the Riverstone affiliate has agreed to assign, and Centennial has agreed to assume, Riverstone’s right to purchase such Silverback assets, subject to the satisfaction of certain conditions.

    Acquisition Highlights

    • ~35,000 net acres directly offsetting existing Centennial acreage in Reeves County (95% operated, ~88% average working interest)
    • Approximately 3.5 MBOE/d of current net production
    • At least 600 horizontal drilling locations assuming 880’ spacing prospective for the Upper Wolfcamp A (~210 locations), Lower Wolfcamp A (~180 locations) and Wolfcamp B (~220 locations)
    • Estimated undeveloped resource potential of over 600 MMBOE from the Wolfcamp A and Wolfcamp B formations with additional upside potential from the Wolfcamp C, Avalon and Bone Spring formations
    • Contiguous position supports extended lateral development (acquisition increases operated extended lateral locations by 136%)
    • Certain third parties have the right, exercisable within 30 days of receipt of a notice of Centennial’s acquisition, to acquire up to ~80% of ~10,000 net acres within the ~35,000 net acres at the purchase price paid by Centennial.

    The acquisition is expected to close on 30-Dec-2016.

    View Centennial Resource Development press release

  • Data analysis Lundin Makes Discovery at Neiden Prospect, Barents Sea

    Lundin Petroleum has made an oil and gas discovery at 7220/6-2R well at the Neiden prospect, located in PL609, Barents Sea.The main objectives of the well were to prove oil in Triassic sandstone and Permian carbonate reservoirs. The well, drilled by the Leiv Eiriksson semi-submersible drilling rig,...

    Lundin Makes Discovery at Neiden Prospect, Barents SeaData analysis
    Exploration

    Lundin Petroleum has made an oil and gas discovery at 7220/6-2R well at the Neiden prospect, located in PL609, Barents Sea.

    The main objectives of the well were to prove oil in Triassic sandstone and Permian carbonate reservoirs. The well, drilled by the Leiv Eiriksson semi-submersible drilling rig, encountered a gross 31m hydrocarbon column, with 21m of oil and 10m gas in the Permian target. The total gross resource estimate for the Neiden discovery is between 25-60 MMBOE.

    View Lundin press release

    Ownership of PL609: Lundin Petroleum (40%, operator), Idemitsu (30%) and L1 Energy (30%).

  • Data analysis Sunoco Logistics to Acquire Energy Transfer Partners

    Sunoco Logistics Partners LP (SXL) and Energy Transfer Partners LP (ETP) have entered into a merger agreement for the acquisition of ETP by Sunoco in a unit-for-unit transaction.Under the terms of the transaction, ETP unitholders will receive 1.5 common units of SXL for each common unit of ETP they own. This...

    Sunoco Logistics to Acquire Energy Transfer Partners Data analysis
    Headlines, Global Deals

    Sunoco Logistics Partners LP (SXL) and Energy Transfer Partners LP (ETP) have entered into a merger agreement for the acquisition of ETP by Sunoco in a unit-for-unit transaction.

    Under the terms of the transaction, ETP unitholders will receive 1.5 common units of SXL for each common unit of ETP they own. This equates to a 10% premium to the volume weighted average pricing of ETP’s common units for the last 30 trading days immediately prior to the announcement of the transaction.

    Energy Transfer Partners LP is a master limited partnership whose subsidiaries include Panhandle Eastern Pipe Line Company LP and Lone Star NGL LLC, which owns and operates natural gas liquids storage, fractionation and transportation assets. In total, ETP currently owns and operates more than 62,500 miles of natural gas and natural gas liquids pipelines. ETP also owns the general partner, 100% of the incentive distribution rights, and approximately 67.1 million common units in Sunoco Logistics Partners LP, which operates a geographically diverse portfolio of crude oil and refined products pipelines, terminalling and crude oil acquisition and marketing assets.

    The transaction is expected to close in Q1-2017.

    View ETP press release