Ovintiv extends Montney footprint by $2.38 billion
Ovintiv, a Canadian shale producer, announced on Thursday that it would acquire oil assets from Paramount Resources in exchange for cash of approximately $2.38 billion. This will strengthen its position in Canada’s highly productive Montney shale. About half of Canada's natural gas is produced in the shale formation that spans northern Alberta, British Columbia and British Columbia. The assets are near Ovintiv’s current operations. They would add 70,000 barrels per day of oil equivalent production to the Montney Formation in Alberta.
Audit shows Senegal debt and deficit is higher than reported
The Senegal's Economy Minister said that the IMF is currently in discussions with Senegal to discuss corrective measures. An audit showed that the debt and deficit of the country were far greater than what the previous administration reported. Abdourahmane Sarr stated that the audit of Senegal’s finances, ordered by the newly elected President Bassirou Diomaye Faye showed a deficit of over 10% at the end 2023 compared to the 5% reported by the previous government.
Shale Pioneer Chesapeake Energy Files for Bankruptcy
Chesapeake Energy Corp filed for Chapter 11 on Sunday, becoming the largest U.S. oil and gas producer to seek bankruptcy protection in recent years as it bowed to heavy debts and the impact of the coronavirus outbreak on energy markets.The filing marks an end of an era for the Oklahoma City-based shale pioneer, and comes after months of negotiations with creditors. Reuters first reported in March the company had retained debt advisers.Chesapeake was co-founded by Aubrey McClendon…
Diamond Offshore Files for Bankruptcy
Diamond Offshore Drilling Inc filed for bankruptcy protection in Texas on Sunday, after the company recently skipped making an interest payment and said it had retained restructuring advisers.The Houston-based contract drilling company's filing, one of 15 of its group companies seeking protection under Chapter 11, said day rates and demand for its services had "worsened precipitously" this year amid a "price war" between OPEC and Russia…
McDermott in Financing Deal of Up to $1.7 Bln
U.S. oilfield services company McDermott International Inc on Monday agreed with some of its lenders for additional funding of up to $1.7 billion, sending its shares up 25% in trading before the bell.Under the terms, the company said it would have immediate access to $650 million in financing, comprising $550 million under a term loan facility and $100 million under a letter of credit facility."The agreement provides near-term liquidity for the company to manage working capital and provide performance guarantees on expected new awards…
Parkland Acquires Tropic Oil Company
Calgary-based fuel and lubricant business firm Parkland Fuel Corp. announced that it is acquiring all of the issued and outstanding equity interests of U.S.-based Tropic Oil Co. Inc., as well as equity interests and the assets of certain of its affiliates.Parkland said the acquisition will be funded out of cash flow from operations and existing credit facility capacity.Parkland is one of North America and the Caribbean’s fastest growing independent suppliers and marketers of fuel and petroleum products.Tropic Oil…
Pemex Requests $8bn Loan Amid Heavy Uncertainty
Petróleos Mexicanos’ (Pemex) US$8 billion bank loan comes amid heavy investor uncertainty over the oil company’s debt load, but lenders wanting to maintain links with Pemex and the left-wing administration overseeing the firm may have little choice but to commit to the financing.The state-backed oil producer is tapping its relationship banks to refinance a chunk of liabilities, a big ask when there is minimal visibility over Pemex’s…
Weatherford to File for Bankruptcy
Irish-domiciled multinational oil and natural gas service company Weatherford International has entered into an agreement with its top creditors that will allow the company to file for a "prepackaged" Chapter 11 bankruptcy - after more than four years without making a profit.Weatherford expects to implement the Restructuring Agreement through a "pre-packaged" Chapter 11 process and expects to file U.S. chapter 11 and Irish examinership proceedings.
Citgo Loans Price in Potential Regime Change
The bank debt of oil refiner Citgo Petroleum Corp, US subsidiary of Petróleos de Venezuela SA (PDVSA), has been volatile in recent days as Venezuela’s political crisis deepens and the market prices in a potential regime change in the South American nation.The company’s US$650m term loan B jumped in secondary trading this week, according to a trader monitoring the debt, after the Houston-headquartered company last Friday installed a new…
Sovcomflot completes USD 900 mln in Foreign Investment
Russia’s maritime shipping company Sovcomflot has announced that it has entered into a new USD 264 million six-year revolving credit facility with a consortium of five leading international banks.The completion of this credit facility marks the successful finalisation of SCF’s 2018 financing plan, with total new debt capital raised this year amounting to circa USD 900 million, said Nikolay Kolesnikov, Senior Executive Vice-President…
Murphy Oil Closes Gulf of Mexico JV
Murphy Oil Corporation announced that it has closed its previously announced deal to form a Gulf of Mexico joint venture with Petrobras.The global independent oil and natural gas exploration and production company said in a press release that its wholly owned subsidiary, Murphy Exploration & Production Company - USA, has closed the previously announced strategic deep water Gulf of Mexico joint venture with Petrobras America (PAI), a…
Sovcomflot Gets $149m Credit Facility for LNG Carrier
Russian maritime shipping company Sovcomflot has signed a new USD 149 million credit facility, for up to 10 years, with a consortium of three leading international banks, comprising: ING Bank, KfW IPEX-Bank GmbH, and Crédit Agricole Corporate and Investment Bank.Russian shipowner specializing in petroleum and LNG shipping said that the funds will be used towards financing the construction of a new generation 174,000-cubic metres Atlanticmax…
Chesapeake Acquires WildHorse for $4B
Chesapeake Energy has entered into a definitive agreement to acquire WildHorse Resource Development, an oil and gas company with operations in the Eagle Ford Shale and Austin Chalk formations in southeast Texas, in a transaction valued at approximately $3.977bn.The acquisition of WildHorse expands Chesapeake’s oil growth platform and accelerates progress toward its strategic and financial goals of enhancing margins, achieving sustainable free cash flow generation…
TechnipFMC Wins EPC Contract with Egypt's MIDOR
Oil and gas industry company TechnipFMC has signed a major Engineering, Procurement, and Construction (EPC) contract by Middle East Oil Refinery (MIDOR) for the modernization and expansion of their existing complex near Alexandria, Egypt.Middle East Oil Refinery (Midor), considered to be Africa's most advanced refinery, is a unit of Egyptian General Petroleum Corporation.This EPC contract covers the debottlenecking of existing units as well as the delivery of new units including a Crude Distillation Unit…
Weatherford CEO's Rebound Plan Relies on Getting Smaller
Four years ago, oilfield company Weatherford International Plc pledged to sell non-core businesses and make paying down debt its top priority after years of borrowing and over spending.It almost worked. Asset sales provided some $1.8 billion to pare debt, and Weatherford's stock nearly doubled that year. But when oil prices plummeted in mid-2014 and customer spending on new wells followed, Weatherford failed to cut costs fast enough and payments on its debt jumped…
Resilient Market Spurs Aker Solutions's Earnings
Norwegian oil services company Aker Solutions reported strengthened earnings for the first quarter of 2018 as orders almost doubled from a year earlier amid increasing signs of a market recovery."We are seeing increasing signs of a market rebound as lower break-even costs and higher oil prices spur project sanctions, particularly in Norway," said Aker Solutions Chief Executive Officer Luis Araujo. "Our consistently strong execution and…
Glencore Inks US$9.085bn Loan Refinancing
Global diversified natural resource company Glencore has signed US$9.085bn of loans to refinance its existing short-term revolving credit facilities, the company said on Thursday. The facilities replace Glencore’s existing US$7.335bn one-year revolving credit facility agreed in May 2017. The financing launched at US$6bn and closed oversubscribed, raising US$9.7bn from the market after receiving strong support from the company’s broad group of existing banks.
SandRidge Offers Icahn Some Deal Records, Rebuts Claims
SandRidge Energy Inc on Monday pushed back against activist investors Carl Icahn and Fir Tree Partners' attack on the oil and gas producer's proposed $746 million acquisition of rival Bonanza Creek Energy Inc. In a letter to its shareholders, the Oklahoma City-based energy firm said opponents' claims the transaction would hurt shareholder value were "false and reckless," and a purchase would boost cash flow per share by 15 percent next year and provide operational and financial synergies.
ADNOC to Raise $2.25 Bln Pre-IPO Loan for Distribution Unit
Abu Dhabi National Oil Company (ADNOC) plans to raise a $2.25 billion loan for its distribution unit prior to selling a stake of up to 20 percent in the unit in an initial public offering (IPO), sources familiar with the matter said. The loan is the latest of a number of fundraisings that state-owned ADNOC, which manages almost all of the proven oil reserves in the United Arab Emirates, is carrying out as part of an overhaul of its capital structure.
Noble Group sells Oil Unit to Vitol
Oil liquids unit to be sold for about $580 million. Struggling commodities trader Noble Group agreed to sell its Americas-focused oil trading business to Vitol for about $580 million as part of a debt-cutting strategy, and warned of a big loss for its third quarter. Monday's move came after Reuters reported late on Friday that Vitol, the world's largest oil trader, was nearing a deal to buy Singapore-listed Noble's oil liquids unit.
