Stake

Denmark-based Maersk Oil has purchased Devon Energy Corp.’s 25% stake in the deepwater Gulf of Mexico Jack prospect in the Lower Tertiary Trend. Maersk in December had agreed to pay $1.3 billion to purchase Devon’s interests in three Lower Tertiary projects: the Jack, St. Malo and Cascade (see Daily GPI, Dec. 23, 2009). However, working interest partners in St. Malo (Chevron Corp.) and Cascade (Petroleo Brasilerio) exercised preferential rights to purchase Devon’s interests (see Daily GPI, Jan. 26). Devon said the aggregate purchase price of its interests in the three prospects remains $1.3 billion; closings are expected by the end of March.

In the first week of the new year, press reports identified three leading bidders to buy the Royal Bank of Scotland’s (RBS) 51% stake in a joint venture commodities trading operation with San Diego-based Sempra Energy. As reported by NGI late last year, Sempra has said it wants to remain in the lucrative trading space while refusing to comment on the potential deals (see NGI, Dec. 14, 2009).

Press reports have identified three leading bidders to buy the Royal Bank of Scotland’s (RBS) 51% stake in a joint venture commodities trading operation with San Diego-based Sempra Energy. As reported by NGI late last year, Sempra has said it wants to remain in the lucrative trading space while refusing to comment on the potential deals (see Daily GPI, Dec. 14, 2009).

A subsidiary of Enterprise Products Partners LP has purchased a 70% stake in the Rio Grande Pipeline, a natural gas liquids (NGL) pipe, from HEP Navajo Southern LP. The purchase price was not disclosed.

Regency Energy Partners LP said it plans to purchase another 5% stake in the Haynesville Expansion Project (HEP) from joint venture (JV) partner GE Energy Financial Services using part of an $80 million investment from private equity investors led by MTP Energy Management and Harvest Partners. The purchase would give Regency a 43% interest in HEP, which initially is designed to transport up to 1.1 Bcf/d of gas from the Haynesville Shale (see Daily GPI, March 2; Nov. 11, 2008). Regency serves as a platform for the GE affiliate’s growth in the midstream sector. Because of financial market turmoil, Regency secured Alinda Capital Partners LP and the GE affiliate as JV partners in HEP. Once the private equity offering is closed, the GE affiliate would retain a 7% interest in HEP, Regency said.

Calgary-based Kitimat LNG Inc. and Mitsubishi Corp. have agreed for Mitsubishi to acquire terminal capacity and a minority equity stake in Kitimat LNG’s proposed liquefied natural gas (LNG) export terminal in Bish Cove, BC, they said Tuesday.

Enterprise Products Partners and Quicksilver Gas Services have scrapped plans to take a stake in TransCanada Corp.’s proposed Pathfinder Pipeline, which would help transport Rockies gas to markets in the Midwest. The credit crunch and unrest in capital markets were blamed.

Enterprise Products Partners and Quicksilver Gas Services have scrapped plans to take a stake in TransCanada Corp.’s proposed Pathfinder Pipeline, which would help transport Rockies gas to markets in the Midwest. The credit crunch and unrest in capital markets were blamed.

Norway’s StatoilHydro ASA gained a stake in the Marcellus Shale after agreeing to partner with Chesapeake Energy Corp. in a $3.38 billion transaction. About $1.25 billion will be paid for 32.5% of Chesapeake’s leasehold and $2.13 billion will be set aside to fund 75% of drilling and completion costs from 2009 to 2012.