• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 12 hours Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 4 hours Visualizing How Much Oil Is In An Electric Vehicle (Hint: a heckuva lot)
  • 4 hours Theresa May to Step Down
  • 5 hours Look at the LONGER TERM bigger picture of international oil & gas. Ignore temporary hiccups.
  • 15 hours Total nonsense in climate debate
  • 16 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 15 hours Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 18 hours Will Canada drop Liberals, vote in Conservatives?
  • 19 hours Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
  • 19 hours Canada's Uncivil Oil War : 78% of Voters Cite *Energy* as the Top Issue
  • 15 hours Apple Boycott in China
  • 11 hours Australian Voters Reject 'Climate Change' Politicians
  • 2 hours Why is Strait of Hormuz the World's Most Important Oil Artery
Alt Text

This Supermajor Is Leading The Energy Sector

This supermajor has been standing…

Alt Text

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Dave Forest

Dave Forest

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

More Info

Trending Discussions

Private Equity Bets $2 Billion on This Commodity

There's a shuffling of investors going on, according to reports this week. In one particular market: natural gas.

On the way out of this market is major Canadian producer EnCana. Which is looking to offload dry gas assets as it whittles down its project portfolio to a more manageable size.

Local media noted this week that one of the first fields to go may be the Jonah project in Wyoming. A development producing about 323 million cubic feet of gas per day, with a only a small amount of associated liquids.

EnCana will reportedly seek somewhere around $2 billion to exit the field.

It's interesting to see this big player moving to leave a project like Jonah. Showing that large producers may be giving up on dryer gas production, and looking to focus ever more closely on liquids-rich plays.

The more interesting point of note on the potential sale here is the purported buyers. With reports suggesting the field may go to private equity groups including major global player Carlyle Group, along with NGP Energy.

If this does pan out, it would be a significant purchase in the natgas space for a player like Carlyle. Suggesting that managers here see significant potential in the commodity.

Even more so since a field like Jonah is basically a pure play on gas. A very contrarian bet right now, at a time when most E&Ps and investors in general are moving toward plays with significant amounts of oil or natural gas liquids like propane and butane.

We'll see if a billion-dollar deal actually emerges. If it does, it's a potentially significant sign of changing sentiment amongst large investors.

Here's to big bets,

By Dave Forest




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News