And the Big Keep Getting Gigantic

And the Big Keep Getting Gigantic

Shareholders have bestowed their blessings on the merger of equals between Denver-based Cimarex Energy and Houston’s Cabot Oil & Gas. Now, it’s time to determine a new name and ticker symbol that combines the two companies following tomorrow’s close. The $17 billion deal announced May 24 will create one of the nation’s largest independent E&Ps to be headquartered in Houston. Reese Energy Consulting today is studying this surprise merger that couples a predominantly oil-weighted producer with a pure-play gas producer, both of which operate in different basins. Unlike the Chesapeakes of the industry that focus primarily on shale gas or the Pioneers that drill for oil exclusively in the Permian, Cimarex CEO Thomas Jordan says the C+C combination will take the newly created company “off the commodity rollercoaster.” He also expects to generate $4.7 billion in free cash flow over the next two years. With Midcontinent assets in West Texas, N.M., and Okla., and in the Permian’s Delaware sub-basin, Cimarex produces 219 MBPD of crude along with gas and NGLs. Cabot operates solely in the Marcellus, producing 2.35 BCFPD of natural gas.

What do you think? Learn more about REC and our oil and gas expertise at www.ReeseEnergyConsulting.com.

Cimarex Energy

Cimarex Energy Co. is an American company engaged in hydrocarbon exploration, particularly shale oil and gas drilling. It is organized in Delaware and headquartered in Denver, Colorado, with operations primarily in Texas, Oklahoma, and New Mexico.

www.cimarex.com

Cabot Oil & Gas

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More Midstream Jumps Aboard the Low-Carbon Express

More Midstream Jumps Aboard the Low-Carbon Express

​The term “responsibly sourced gas” has found itself a home in the new lexicon of low-carbon initiatives across the industry. As one of W.V.’s, top gas producers at 115+ BCF per year, Northeast Natural Energy in May announced plans to seek third-party environmental certifications across its 30,000-acre operating area. Meeting the criteria to earn this accreditation has a lot of tentacles, of course, to include air, water, land, and community impact. But the distinguishment of earning these certifications not only make investors and customers happy, they also can mean premium prices for supplies. Reese Energy Consulting engages with several renewables and clean-air technology companies to help our clients navigate their own course toward a net-zero future. Today, we follow the latest news from Kans.-based pipeline operator Tallgrass Energy, which has announced it will install and begin monitoring methane and other GHGs at compressor stations along its 1,700-mile Rockies Express Pipeline. Teaming up with carbon-measurement certifier Project Canary, Tallgrass looks to become the first U.S. operator to gain certification on an interstate natural gas pipeline.

What do you think? Learn more about REC and our natural gas services at www.ReeseEnergyConsulting.com.

Tallgrass Energy Partners

Tallgrass Energy Partners is an oil and natural gas pipeline company organized as a master limited partnership, founded in 2013. The company operates approximately 7,539 miles of pipeline in the U.S. states of Nebraska, Kansas, Wyoming, Colorado, Missouri, Illinois, Indiana, and Ohio.

www.tallgrassenergy.com

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