This is your Hart Energy LIVE A&D Minute powered by the first Gulf of Mexico Energy Transformation Conference March 21 in Houston.
More small and mid-sized market cap producers are focused on scaling up. A month after rebranding as Vital Energy, the company formerly known as Laredo Petroleum announced the acquisition of Driftwood Energy Operating’s Midland Basin acreage in a cash-and-stock deal worth roughly $214 million. Will this M&A trend continue?
Meanwhile, BP is focusing on growing its U.S. retail footprint — spending roughly $1.3 billion acquiring TravelCenters of America to expand its offerings for electrical vehicle charging, biofuels, renewable natural gas and hydrogen passenger vehicles and fleets.
However, overall upstream deal-making value plunged between 2021 and 2022, while deal activity fell to the lowest level since 2005 and was down by 24% for the year, according to Enverus Intelligence Research. Occasional big-dollar transactions are becoming fewer and farther between with some exceptions. Instead, companies like Vital Energy are driving the deals as they seek to grow their drilling inventories and volumes. Will 2023 focus on more mid-sized deals or are some much larger announcements brewing?
That’s your Hart Energy LIVE A&D Minute powered by the inaugural Gulf of Mexico Energy Transformation Conference - save your seat before it sells out!
Watch new A&D Minute episodes every Wednesday and sign up for our A&D Watch newsletter at hartenergy.com/deals.
Recommended Reading
Raising the Bar for ROV Operator Performance by Lowering the Bar for Entry
2023-01-31 - Technology companies Greensea and Blue Ring’s partnership helps ROV operators become situationally aware without having to “context switch” from task to task.
Tieback Bounce-back: Subsea Market on the Rise
2023-02-07 - After an economic downturn and rough period with COVID-19, the market for subsea tiebacks looks to grow stronger than ever.
E&P Tech Trends: Universal's Cementing Sector is Growing Rapidly - Here's Why [WATCH]
2023-02-28 - In this week's episode of Hart Energy LIVE's E&P Tech Trends, Hart Energy technology reporter Jaxon Caines explores the future of Universal's cementing business with director of cementing Deepak Khatri.
Innovation at Forefront of 2023 SPE HyFrac Conference
2023-02-03 - Engineers from different corporations gathered during the HFTC Plenary Session to discuss different approaches to fracking, including the benefits of fiber optics and geothermal fracking.