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US energy sector deals accelerate in quest for reserves

June 12, 2024 8:30 AM
Reuters


The consolidation wave in the U.S. energy sector that triggered $250 billion worth of deals in 2023 has stretched into this year, as companies look for opportunities to deploy their cash hoard and boost their reserves.

The total value of deals in January and February hit the highest level since the first quarter of 2017 when $68 billion worth of deals were announced, and is also more than double that announced in the first quarter of 2023. Deals involving U.S. shale firms represented more than 80% of the total value, analytics firm Enverus has said.

In 2023, some 39 private companies were acquired by public companies.

Below is a list of deals in the U.S. oil and gas sector so far this year:

Announcement Date Target Acquirer Deal value (in $) Deal type Closing date
June 12 Unit of Ameredev II Matador Resources 1.91 bln Cash Q3, 2024
June 10 Diamond Offshore Drilling Noble Corp 1.59 bln Cash and stock Q1, 2025
May 29 Marathon Oil ConocoPhillips 22.5 bln All-stock Q4, 2024
May 28 WTG Midstream Energy Transfer 3.25 bln Cash and stock Q3, 2024
May 16 SilverBow Resources Crescent Energy 2.1 bln Cash and stock End of Q3, 2024
April 2 ChampionX SLB 7.8 bln All-stock End of 2024
March 11 Equitrans Midstream EQT Corp 5.5 bln All-stock Q4, 2024
February 21 Enerplus Corp Chord Energy 3.84 bln Cash and stock Mid 2024
February 12 Endeavor Energy Diamondback Energy 26 bln Cash and stock Q4, 2024
January 22 NuStar Energy Sunoco 7.3 bln All-stock Deal closed
January 15 QuarterNorth Energy Talos Energy 1.29 bln Cash and stock Deal closed
January 11 Southwestern Energy Chesapeake Energy 7.4 bln All-stock Second half, 2024
January 7 Aera Energy Resources California Resources 2.1 bln All-stock Second half, 2024
January 4 Callon Petroleum APA Corp 4.5 bln All-stock Deal closed

(Compiled by Mrinalika Roy, Sourasis Bose, Tanay Dhumal, Vallari Srivastava and Seher Dareen in Bengaluru; Editing by Sriraj Kalluvila)

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