Deals this week: Pengrowth Energy, Greenfield Midstream, Oneok


Pengrowth Energy Corporation has agreed to dispose its oil and gas assets located in Olds / Garrington area, Alberta, Canada, for a cash consideration of $232.69m.

The company holds 100% stake in Olds Gas Field Unit No. 1 and 86% average working interest in the adjacent non-unit reserves.

The proven plus probable (2P) reserves of the assets are estimated to be 78mmboe. The assets are expected to produce 13,875bopd this year.

Scheduled for completion in August, the transaction will allow Pengrowth Energy to reduce its liability and strengthen the balance sheet.

Greenfield Midstream has secured a commitment from EnCap Flatrock Midstream for an equity investment of $300m.

Greenfield Midstream is engaged in the organic development of midstream infrastructure across North America. It offers natural gas gathering, processing, treating and compression, crude oil gathering and transportation, water handling, and product marketing services.

Vinson & Elkins was the legal adviser to Greenfield Midstream for the transaction. The deal allows the company to accelerate the development of new properties.

Oneok has announced the pricing of 4.95% senior unsecured notes, due 13 July 2047, to raise $700m in a public offering.

The notes bear a semi-annually payable coupon rate and offer a yield to maturity of 5.031%.

"Greenfield Midstream has secured a commitment from EnCap Flatrock Midstream for an equity investment of $300m."

Gable & Gotwals and Fried, Frank, Harris, Shriver & Jacobson are the legal advisers to the company for the issue.

The proceeds from the issue are intended to be used by the company for general corporate purposes.

Bruin E&P Partners, through its affiliate Bruin Williston Holdings, has agreed to acquire certain operated oil and gas assets located in the Williston Basin, North Dakota, US, from Halcon Resources Corporation, for a cash consideration of $1.4bn.

The assets extend across an area of approximately 105,900 net acres and produce at a rate of approximately 29,000boed. The transaction also includes a 100% acquisition of the membership interests in two subsidiaries of Halcon Resources.

Halcon Resources has appointed RBC Richardson Barr as the financial adviser for the transaction.

The deal is part of Halcon Resources’ strategy to shift its exploration and production focus from Williston basin to Delaware basin.

Scheduled for completion on 7 September, the transaction will allow Bruin E&P to extend its oil and gas assets portfolio in North Dakota.

Silverback Exploration II (Silverback II) has received a commitment from EnCap Investments for an equity investment of $500m.

Silverback II is engaged in the development of organic projects and strategic acquisitions in conventional and unconventional resource play across the US.

Kelly Hart & Hallman was the legal adviser to Silverback II in the transaction. The deal allows EnCap Investments to reinforce its oil and gas investment portfolio.