CM - People & Companies - November 15, 20193Bear Energy, LLC named Craig Harris CEO to succeed founder Bob Clark, who will remain as chairman of the board. Harris is former EVP and COO of Enable Midstream Partners, and has held various managerial roles at Columbia Pipeline Group, Ni Source, and El Paso Corp. Antero Resources Corp. elected Vicky Sutil and Tom Tyree as Class III and Class I directors, respectively. Sutil was VP of commercial analysis for a California Resources Corp. marketing unit and also worked with Occidental...
Nov 15, 2019
CM - Approach deleveraging, currently in forbearance agreement - May 2019Approach Resources Inc. is in talks with Wilks Brothers and affiliate SDW
Investments regarding potential deleveraging activities, the company said. It is
looking at a possible debt for equity exchange and additional capital infusion, among
other alternatives. Approach had fallen out of compliance with two covenants under its
revolving credit facility by the end of Q1, creating an event of default.The company and its
lenders signed a forbearance agreement
effective until June 22, unless...
May 31, 2019
CM - Analyst Notes - April 18, 2019Callon Petroleum Co. (NYSE: CPE; $7.82-April 10; Outperform; PT-$15)
We are maintaining our Outperform rating and one-year price target of $15 on CPE
shares. On 4/8/19, after market close, CPE announced the sale of its Ranger assets. The
agreement gives CPE the potential to realize incremental cash payments of up to $60MM
based upon future commodity prices (upside participation starting at the $60/Bbl WTI).
The company has expressed its intention to monetize this asset in the past and...
Apr 18, 2019
CM - People & Companies - April 18, 2019Altus Midstream Co. appointed
Craig Collins COO, effective April
29. He will also serve as VP of US
midstream operations of Apache Corp.
Collins was VP of midstream for Alta
Mesa Resources and VP and COO of
Kingfisher Midstream, LLC from April
2018 until April 3, when he resigned. Amplify Energy Corp. elected
Scott Hoffman to the board of directors to
replace P. Michael Highum, who resigned.
The changes became effective March 22. Andeavor Logistics LP announced
that Blane W....
Apr 18, 2019
CM - Analyst Notes - March 28, 2019Abraxas Petroleum Corp. (Nasdaq: AXAS; $1.34-March 13; Buy; PT-$3.80)
4Q18 EPS/EBITDA of $0.02/$20.1MM…beat our estimate on average realized
price (12%) and production tax (-7%). Pre-released 4Q18 production (1/29/19)
increased 19% y-y and 4% q-q to 10.5 MBoepd, 2% above/9% below prior SF/
consensus. Production was negatively impacted by frack protect
shutins, gas flaring and voluntary production curtailment due to a
high December basis differential in the Williston Basin. 4Q18 capex
of...
Mar 28, 2019
What the Analysts are Saying About Canadian Capital - June 28, 2018Advantage Oil & Gas (TSX: AAV; $4.08 – June 21; Buy; PT: $5.0)With AAV trading near a historical low EV/EBITDA multiple on an all-time low AECO strip we think it presents one of the most skewed risk/return profiles we've seen in a long time. We calculate a NTM EV/EBITDA multiple of 5.2x (equal to consensus) on a C$1.55/mcf AECO price (US$1.20), more than 2 turns below the 3-year average historical multiple of 7.5x. Additionally, at strip pricing to 2021 and a terminal AECO price of...
Jun 28, 2018
Approach keeps $325MM borrowing base on $1B facilityApproach Resources, Inc. reaffirmed that its borrowing base and aggregate lender commitments were $325 million following a May 1 redetermination of its $1.0 billion revolving credit facility with its bank group. Approach had about $291 million drawn down from its facility at the end of Q1. Rounding out its debt picture, the company reported at Q1 end $85.2 million in long-term debt in the form of 7% senior notes due 2021. It ended the quarter with $22 million in cash and equivalents, bringing...
May 11, 2018
Shale producers cautious on capex despite surge in oil priceUS shale producers have taken a careful approach to capex even though oil prices have escalated 40% in the last six months. This could be, in part, due to warnings from shareholders who want them to control costs and make profits rather than on continually invest in higher production. Despite the caution some investors are wary companies will resist the temptation of higher oil prices, which in the past has always encouraged them to spend more. “These companies can say that, but will they...
Feb 09, 2018
Approach’s borrowing base reaffirmed at $325MMLenders of independent Midland
Basin E&P Approach Resources Inc.
amended and extended the company’s
senior secured revolving
credit facility, reaffirming
its borrowing base at $325
million and pushing back the maturity date
to May 7, 2020. The next borrowing base
redetermination will occur in or near...
Jan 19, 2018
Analyst Takes - December 22, 2017Approach Resources Inc (NASDAQ: AREX, $2.57 – Dec. 12, Neutral) AREX reported 3Q17 results below the Street after prior pre-announcement. AREX preannounced 3Q17 production on October 19 along with downward revised capex and LOE guidance. Harvey-related curtailments of 0.5 Mboe/d pulled 3Q17 output down to 11.5 Mboe/d, 4% lower than the existing 11.9 Mboe/d consensus. Reported 3Q17 EBITDAX of $13.8MM fell 4% below the likely partially stale $14.4MM consensus. AREX's $18.1MM...
Dec 22, 2017
Approach Resources registers $500MM in securitiesIndependent Permian-focused E&P
Approach Resources Inc. filed a shelf
registration on Sept. 15 covering up to
$500 million of securities to be offered
from time to time in one
or more transactions.
The registration covers
common and preferred shares as well as
depositary shares, warrants, rights and debt
securities. Nasdaq-traded Approach had
156.4 MMboe of estimated proved reserves
in Crockett and Schleicher counties, TX
as of YE16. It owned and operated 806
producing wells as of that...
Sep 21, 2017
People & Companies - June 23, 2017Baker Hughes Inc. and General Electric Co. announced the new executive team that will lead Baker Hughes once its combination with GE’s Oil & Gas business is complete. Among the announced appointees were Lorenzo Simonelli as President and CEO; Brian Worrell as CFO; Nicola Jannis as chief business development officer; Belgacem Chariag as chief global operations officer; and Will Marsh as chief legal officer. In all, the pair announced a new 15-member leadership team. Richard N. Azar, II...
Jun 23, 2017
Apollo backing STACK player Chisholm up to $900MMFunds managed by Apollo Global Management are investing in a partnership to develop oil and gas properties in Oklahoma with Tulsa’s Chisholm Oil & Gas LLC. The amount of the private equity group’s investment may approach $900 million. Chisholm closed its first transaction in the STACK play consisting of about 53,000 acres in and around Kingfisher County, Oklahoma with nearly 3,000 boe/d of current production. The company is led by CEO Robert Zinke, an industry veteran. He and his...
Apr 19, 2017
CM - Credit & Debt Briefs - January 04, 2019Approach Resources reaffirmed its
borrowing base at $325 million through its
next redetermination in April. Its borrowing
base, which matures in May 2020, has
remained intact since 2Q16. It had $295.5
million drawn on the facility at the end of
3Q18. JP Morgan leads eight lenders on
the facility for Approach, an independent
E&P firm focused on the Midland Basin. Chesapeake Energy Corp. is
calling all the $923,000 principal amount
outstanding of its 2.25% convertible 2038
notes for...
Jan 04, 2019
People Briefs - June 01, 2017Anadarko Petroleum named Daniel E. Brown EVP, International and Deepwater Operations and Bradley J. Holly EVP, US Onshore Exploration and Production. Darrel E. Hollek, former EVP, Operations, will serve as an advisor until his retirement later this year.. Brown most recently served as SVP, International and Deepwater, and Hollek as SVP, US Onshore Exploration and Production. Apache Corp. elected Rene R. Joyce to its board of directors. Joyce serves as a director of Targa Resources Corp....
Jun 01, 2017