|
As of October 26, the Baker Hughes Federal waters Gulf of Mexico rig count stood at 48, up 45% YOY and up from a low of 12 during the bottom of the post-Macondo moratorium in July 2010. When the Deepwater Horizon spill began on April 20, 2010, the rig count stood at 55.
This docFinder Alert highlights the renaissance in the Gulf of Mexico and a return to normal activity as sellers manage the capital demands of onshore U.S. resource plays and other global deepwater plays. Buyers, largely independents, are strengthening their existing portfolios and gaining production, reserves and additional exploratory prospects at reasonable valuations. In Q3, the Gulf of Mexico garnered the largest percentage of deal value (39%) in the United States upstream M&A markets according to PLS Global Upstream M&A database.
Earlier in the year in February, SandRidge Resources surprised the markets by buying Dynamic Resources for $1.275 billion.
More recently, on September 18, W&T Offshore bought all of Newfield Exploration's remaining Gulf of Mexico assets for $228 million. The assets expand W&T's current production and and significant deepwater exposure with 6 producing blocks and 59 additional blocks. W&T picks up 8.350 boepd of production (at $25,900 boepd) and 7.7 MMboe of proved reserves (at $28.05/boe). Slide above left shows the Newfield acreage position while this slide details the deal terms.
The day before, EPL Oil & Gas paid $550 million for certain shallow water central Gulf of Mexico assets from privately-held Hilcorp. The assets include three legacy Chevron fields in the vicinity of EPL's core fields. EPL picked up proved reserves of 10,000 boepd ($55,000 boepd) and proved reserves of 36.3 MMboe (at $15.16 boe). Slide above right details several key Hilcorp fields while this slide presents acquisition highlights. The market is certainly applauding EPL's "acquire and grow" strategy in the Gulf, seeing the stock climb 39% from Jan. 1 to Sept 30. (leading U.S. focused independent performance for companies with market cap > $500 million).
More HOT slides and data below.
Additional deals and activity regarding the Gulf of Mexico are presented below courtesy of Plains E&P, Anadarko, Hercules Offshore, and McMoRan Oil and Gas.
Did you know?
Oil company execs, investors and bankers know full well the value of "competitive reconnaissance." PLS' new docFinder database is a valuable DATA source to help you stay current on industry and company developments. DocFinder lets you quickly view and compare type curves, oil price differentials, drilling costs, operating costs, CAPEX plans past, present and future, and other critical data.
Start your free trial to docFinder today!
| 
