Hart Energy's Top Articles of the Week – June 6 - 10
Hart Energy
All Energy. All The Time. Media, Research, and Data for the Global Energy Industry.
The energy industry moves quickly, and it's not always possible to read every story as it happens.
To help, Hart Energy collects its five favorite articles each week so you can see what everyone else is talking about. Check them out below and let us know what you think in the comments!
Andros Capital Partners LLC on June 7 unveiled a new mineral platform following an initial acquisition of mineral and royalty for $122 million.
According to a company release, Andros Minerals LLC, the firm’s newly launched direct mineral and royalty acquisition platform, entered an agreement with an undisclosed private seller to acquire a portfolio located in the Eagle Ford Shale and Permian’s Midland and Delaware sub-basins.
Beachwood Helix Corp., a new energy asset marketplace, is teasing two deals by a private buyer that are set to close in July for about $863 million.
The assets are located in the Lower 48. Beachwood president and founder Joshua Robbins said in an interview with Hart Energy that he had spoken to the buyer on June 2 and could not provide additional details.
Recommended by LinkedIn
A confluence of world events is depleting natural gas inventories, raising commodities prices and U.S. exports to record levels that will likely continue to grow throughout the rest of the year, according to analysts at the Federal Reserve Bank of Dallas.
And that could make the U.S. midstream industry a key beneficiary of the tumult.
Since 2017, the company has closed four deals valued at $1 billion or more. That includes its 2021 acquisition of QEP Resources for $2.2 billion. Its largest deal during that span was its 2018 acquisition of Energen Corp. for $9.2 billion worth of stock.
But the company is now publicly holding firm to a lower-key acquisition strategy that won’t include the massive deals that have built it into one of the largest operators in the Permian Basin.
Oilfield service inflation continues to burn through upstream operators’ capex, with Callon Petroleum Co. the latest E&P to raise its budget to address price increases.
Although the pain of higher services will be offset by Callon’s forecast for more adjusted free cash flow of $900 million, the company isn’t alone. Morgan Stanley analyst Devin McDermott said about 30% of their E&P coverage has raised capex to address inflationary pressures with an average increase of 11%.