• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 53 mins Judge Orders Trump To Release Tax Returns
  • 2 mins EU has already lost the Trump vs. EU Trade War
  • 3 hours The lies and follies of the "cry wolf" enviros: No more fire in the kitchen: Cities are banning natural gas in homes to save the planet
  • 4 hours China's Renewables Boom Hits the Wall
  • 4 hours Iran Finds New Oil Field With Over 50 Billion Barrels: Rouhani
  • 4 hours CHK Trading @ 90 Cents
  • 17 hours China Burns More Coal than the Rest of the World !
  • 12 hours Offshore SE Asia: Offshore OFS Could Get Major Boost in SE Asia
  • 19 hours New York State Taxpayers Lose 900 Million to Tesla
  • 16 hours "Climate Migrants"
  • 23 hours Giant Windmills Wildly Unpopular
  • 16 hours Does Brazil Auction Flop Forbode the Outcome of the Saudi Aramco IPO ?
Alt Text

How Much Oil Does The U.S. Really Own?

The scope of global oil…

Alt Text

The Oil Mystery Undermining An Aramco IPO

Saudi Arabia’s oil giant Aramco…

Alt Text

Is U.S. Shale Circling The Drain?

There’s a lot going on…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

Private Equity Is Jumping Into This Reemerging Oil Hotspot

I talked earlier this week about increasing private equity activity in the U.S. shale patch.

And news the last few days shows energy PE is also growing in the international E&P space. With major players Blackstone Group and Warburg Pincus saying Tuesday they will monetize $290 million in value from Africa-focused Kosmos Energy.

But elsewhere, private equity is buying into plays — with one group putting up $300 million in fresh capital for an unexpected start-up in one of the world’s most mature basins.

The North Sea.

London-based PE outfit Blue Water Energy was named Tuesday as the major backer for a new E&P focused on the Norwegian North Sea — Mime Petroleum. With that company announcing that Blue Water will inject $300 million into the firm.

That’s a significant amount of cash coming in — for a place many oil and gas insiders have written off as over-the-hill. But just as fast as E&Ps have been exiting the North Sea, new capital has been pouring in. Evidenced by very strong bid round activity in Norway during the last few years.

That shows big investors still see a lot of potential in this mature basin. In fact, the region has been seeing a “silent” investment boom — underscored this week by another massive deal.

That’s a $1.05 billion transaction from chemical-maker INEOS, unveiled Wednesday. With that company buying the entire North Sea portfolio of Denmark’s DONG Oil & Gas — covering assets in the UK, Norway and Denmark.

The INEOS buyout is a big one, coming with 100,000 barrels equivalent per day of production, and 570 million boe of reserves. Which the chemical major will use as supply for its downstream operations.

The biggest takeaway: a lot of money is still out there for North Sea projects. And much of it is coming from non-traditional sources. Watch for more deals on assets in this part of the world, and for continued activity in bid rounds here as they press into frontier plays with world-class upside.

Here’s to strong hands.

By Dave Forest

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage



Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play