The consolidation trend among oil and gas producers will continue, Pioneer CEO Scott Sheffield says, before vaccines pave the way for recovery.
Here’s a snapshot of recent energy deals including the closing of Southwestern Energy’s acquisition of Montage Resources plus the $44 billion all-stock merger of S&P Global and IHS Markit.
While not addressing rumors of possible mergers involving CNX Resources, the industry veteran offered ‘hard truths’ on successful combinations in the Appalachian Basin during Hart Energy’s DUG East and Marcellus-Utica Midstream Virtual Conference.
George Solich and management team retain FourPoint Energy name, plan for next venture.
The landmark deal, which values IHS Markit at an enterprise value of $44 billion including $4.8 billion of net debt, combines two of the world’s largest provides of data.
In one frame, bankruptcies continued to unravel debt-laden E&Ps. Opposite that, massive megadeals fused together oil and gas companies into Permian Basin behemoths.
The transaction combines the U.S. operations of Innovex Downhole Solutions with Rubicon Oilfield International’s broad international strength to create a global platform capable of sustained growth in a low commodity price environment.
Surf’s up, and the merger waves are crashing onshore. Although as the E&P universe continues to shrink, the jury is still out as to whether the recent slew of combinations will be able to generate the returns needed to attract investor interest.
Here’s a snapshot of recent energy deals including the merger of Denver-Julesburg Basin producers Bonanza Creek Energy and HighPoint Resources in a $376 million deal.
The combination of Bonanza Creek Energy and HighPoint Resources is expected to create a leading unconventional oil producer in the Denver-Julesburg Basin with roughly 206,000 net acres in rural Weld County, Colo.