Ridge Runner Resources, LLC is a new E&P focused on the Delaware Basin The new company has received a line of equity financing of up to $300 million from funds affiliated with Warburg Pincus. The company will be led by CEO Scott Germann, an Exxon-trained geologist with more than 20 years of financial and operational experience in the Permian Basin.
Enbridge Inc. (ticker: ENB) and Spectra Energy Partners, LP (ticker: SEP) announced today their execution of a definitive agreement resulting in Enbridge converting all of its incentive distribution rights (IDRs) and general partner (GP) economic interests in Spectra Energy Partners into 172.5 million newly issued SEP common units. As part of the transaction, all of the IDRs have been eliminated.
New law guarantees government won’t forcibly take assets On Dec. 30, 2017, Ukraine President Petro Poroshenko signed a new law reducing the natural gas royalty rate on all new wells drilled after Jan. 1, 2018 from 29% to 12%. “The Agreement for the Encouragement and Protection of Investment” ties Ukraine and the OPEC Fund for International Development (OFID) together in
According to an SEC 8-K form filed December 7, 2017, the board of directors at Whiting Petroleum Corporation have “concluded that a material charge for impairment to one of its assets was required under generally accepted accounting principles applicable to the company.” The asset in question is the company’s Redtail field in the DJ Basin. The company expects to record
Fed is likely to raise its key rate two more times – Dallas Federal Reserve The last time the world’s central banks diverged on policy came as the Fed increased its key rate in December 2015. It’s happening again. The U.S. Federal Reserve continued its policy of quantitative tightening last week by raising the key rate 25 basis points, and
The Dow Jones Industrial Average closed above 20,000 for the first time ever as investors prepare for bullish White House policy U.S. equities closed at an all-time high Wednesday as a series of bullish policies from the White House have investors hoping that corporate earnings will likely move higher under President Trump. The Dow closed at 20,068.5, up 0.8% on
Hein & Associates provides an update on new FASB standard After years of review, the Financial Accounting Standards Board (FASB) issued a new standard that will require both public and private companies to show lease obligations on their balance sheet, according to Hein & Associates. As far back as 2005, financial regulators had pegged leases as an area for review,
Redeterminations Can’t Come Fast Enough: Energy Bankers As we sit here today WTI is trading around $34 per barrel and natural gas at $1.68 per Mcf. Reserve base lending agreements are scheduled to be redetermined in the coming months. Since the fall redeterminations, oil prices have fallen about 24% and gas prices have declined about 33%. From the bankers we
Rice Energy (ticker: RICE; RiceEnergy.com) has closed a financing agreement with EIG Global Energy Partners (“EIG”; www.EIGpartners.com). EIG has agreed to a $500 million equity investment with Rice: $375 million upfront in exchange for preferred equity and common units in Rice Midstream Holdings (“RMH”) and Rice Midstream GP Holdings, respectively. The investment from EIG will generate increased liquidity to grow
Just 14% of 2016 production hedged With oil and gas prices holding lower for longer, many operators are looking for ways to protect as much of their production as possible. Hedges have offered some level of protection to producers through the commodity price rout, but with just an estimated 14% of production hedged in 2016, according to Reuters, producers are
