Like a great white shark looking for blood in the water, Warren Buffett’s Berkshire Hathaway Inc. (BHI) has clamped its jaws around another ailing energy asset, Seitel Inc., after agreeing to finance its voluntary bankruptcy reorganization. The transaction would give the Omaha-based holding company title to a sizeable North American-focused seismic database and increase its growing energy holdings, which now include two major natural gas pipelines.
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Deal with Seitel Would Increase Buffett’s North American Energy Holdings
Like a great white shark looking for blood in the water, Warren Buffett’s Berkshire Hathaway Inc. (BHI) has clamped its jaws around another ailing energy asset, Seitel Inc., after agreeing to finance its voluntary bankruptcy reorganization. The transaction would give the Omaha-based holding company title to a sizeable North American-focused seismic database and increase its growing energy holdings, which now include two major natural gas pipelines.
After Long Weekend, Bears Draw First Blood
Amid a devastating combination of rising temperatures andfalling cash prices the natural gas futures market started the yearwith a crash Tuesday, as commercial and speculative traders alikeliquidated their long positions and added to their shorts. Theprice impact was felt immediately, with the February contractgapping a whopping 10 cents lower en route to a 15.3-cent loss tosettle at $2.176. Despite the sizeable move lower, estimated volumewas a relatively modest 62,491.
Bears Draw First Blood, Send June Below $2.20
Following last Friday’s near price-stalemate, bears were quickout of the blocks yesterday, and within the first hour of tradingthe June contract reached it’s lowest level since April 19. Themarket received a slight buying boost before the noon hour, butsellers were at it again yesterday afternoon, carving out a $2.145low in choppy trading activity. The June contract finished at$2.176, down 4.9 cents for the session.