Deals, Mergers & Acquisitions
• US shale player Carrizo Oil & Gas is selling over to Callon Petroleum for a total of $3.2 billion, which includes $1.2 billion in stock and the rest in debt. This is a merger deal for Texas shale, specifically for the Permian Basin and Eagle Ford. The deal is expected to close in Q4. The merger will produce a company with around 200,000 net acres in both basins, with average production of around 100,000 boepd in Q1 2019.
• BlackRock has announced it will acquire a majority stake in a solar and storage solutions business, Distributed Solar Development, owned by the renewables arm of General Electric. GE Renewable Energy will retain a 20% interest in the new venture.
• If you’re looking for deals in the wind energy sector, look for those companies who haven’t been able to keep pace with market disruption. One of those is India-based wind turbine maker Suzlon Energy, which has failed to make principal payments on its bond issuance of $546.91 million. Rumor is now that it’s targeted for acquisition and that Canadian Brookfield Asset Management is planning a majority stake offer.
Discovery & Development
• We’ve just seen the first LNG freight derivatives trade using Baltic Exchange spot price assessments. This was brokered by Affinity Shipping between Total Gas & Power and trading giant Glencore. Why is this important? Because we’ve seen charter rates…