Oil and gas acquisition financing. Production Lending for Oil & Gas Producing Companies.

• Oil and gas acquisition financing also being the world’s largest oil and gas consuming nation, consuming over 19 million barrels of oil and 778 billion cubic meters of natural Whether you’re seeking overnight bridge financing, reverse financing, or acquisition financing for multiple properties, we have the right solution for you. upstream project and Practice notes, Upstream oil and gas concession contracts and Joint operating agreements: key issues for drafting, reviewing and negotiating (sectors only)), shareholder loans and share subscriptions. Combined with a previous LNG agreement and acquisition of Eagle Ford Shale assets, the British company has spent $3 billion in the U. Financing Activities: Since oil & gas companies are constantly buying assets and spending a small fortune to find more assets and since they deal with volatile commodity prices Jun 24, 2024 · The Kroll Oil and Gas team understands the idiosyncrasies of the global sector and offers following knowledge through this report. Indeed, conventional lending options do not readily provide the necessary financial backing in The note is intended to provide an overview for those advising on the financing of projects in the oil or gas industries, or to those who are seeking to understand the typical structures and risks involved in oil and gas projects. to finance the exploration, development and acquisition of oil and gas properties located in Mississippi, Oklahoma, New Mexico, and Texas. These segments insulate investors to a greater degree from volatility in oil prices. Riviera Finance specializes in providing reliable, fast, and flexible oilfield factoring services to businesses across the oil and gas sector. Exploration and Oilfield Funding, LLC helps oilfield companies grow and thrive. 5 billion acquisition facility, secured by oil and gas reserves; $825 million equity investment and second lien financing to finance the acquisition of certain Gulf Coast assets Citizens Bank has tailored its oil and gas loans to meet the needs of the borrower. Our team works with exploration and production companies to meet specific, capital-intensive needs in order to develop existing oil & gas reserves, finance acquisitions of additional reserves, and provide working capital financing. Baker Donelson works with clients in all sectors of the energy industry and has broad experience in energy finance. Nordic bonds. Against a backdrop of falling commodity prices, access to finance has become one of the key challenges facing many industry participants in the oil, gas and mining sectors. (i) Project and structured commodity finance advisory and asset-based lending advisory. Corporate loans, acquisition financing, reserve based lending (RBL) (see Practice Sep 8, 2022 · When to Get Financing for Your Oil and Gas Company. $1. Dec 19, 2024 · Oil and gas deals made global headlines throughout 2024 as industry players looked to secure a competitive cost of supply through mergers and acquisitions (M&A). We underwrite investments with emphasis on downside protection and asset coverage including hedging and meaningful financial covenants. Production Lending for Oil & Gas Producing Companies. Gulf assets held by a CNOOC subsidiary. Oilfield Funding, LLC is a non-bank, specialty finance debt and equity provider to oilfield service, exploration and production companies operating in and supporting every major play across the United States. Stabilize Cash Flow with Oil and Gas Factoring. . From property acquisition financing to oil, gas and NGL hedging, our Energy Banking Group brings decades of experience and a multitude of products catered to your needs. Jan 24, 2022 · Bob Palmer, oil and gas partner at Mayer Brown, said some private equity funds have been long-term investors in the oil and gas industry, as well as within the lower-risk midstream and services segments of the market. The oil and gas department of Citizens Bank was established in 1989 to fill a void in lending to small independent oil and gas producers. INEOS Energy closed an acquisition of U. 5 Situations That Require Oil and Gas Financing. These companies spend a huge amount exploring and buying assets, and also receive a good chunk of change for selling assets like individual oil fields and gas wells. Our global Renewable Energy Practice → Sep 16, 2021 · Production based financing (including pre-export financing, prepayment financing, streams and royalties); and. While industry deals in 2024 continued 2023’s overall trend of consolidation, deal value dropped significantly with last year’s biggest M&A reaching $60bn – a stark contrast to Oil and Gas Sector Proem The oil and gas business is an extensive, complex, worldwide industry with extremely diverse risks; especially in relation to the upstream sector, where operations are very capital intensive. Contact us today to discuss oil and gas financing that meets the financing requirements of your oil or gas operations. We offer a practical, industry-specific approach for both traditional and renewable energy transactions, including transactions related to anaerobic digester, landfill gas-to-energy, solar, co-generation and natural-gas-fired power generation facilities located throughout the Home Oil and Gas Asset Acquisition and Financing Oil and Gas Asset Acquisition and Financing Over the past decade, international oil majors have been pivoting their investment strategy to offshore assets and divesting their stakes in onshore assets in West Africa. At Comerica, we’ve become a leader in the energy industry by becoming experts in the exploration, production, processing and transportation of oil and gas. But which situation requires you to get oil and gas acquisition financing? Because you can’t get into this field without financing. Financing can help with many aspects of your business, such as purchasing producing O&G assets, acquiring other firms, purchasing equipment, and having working capital for your firm. 2015 was also a major year of achievement for the United States oil and gas industry, becoming the ninth-largest oil reserves and the fifth-largest natural gas reserves; this correlates with the U. There are many business financing solutions available for the oil and gas industry. Waiting until you’ve got a backlog of gas projects and no working capital available may make it hard for you to get a loan. ConocoPhillips is marketing Anadarko Basin assets it picked up through a $22. Alternative financing structures in the . 5 Alternative financing structures in the oil, gas and mining sectors 1 . Mar 5, 2024 · Once the oil is extracted and the company that got the loan for the whole process gets money for their tender, they pay back to the lenders. For more than four decades, we’ve provided invoice factoring and financing solutions to businesses in the oil, gas, and energy-related fields. Dec 25, 2022 · As banks have pulled back from funding oil and gas operations and other traditional sources of financing such as equity investment or reserve-based lending (RBL) facilities are drying up, private Our specialized energy and oil and gas banking solutions include: Senior debt financing for working capital and acquisitions; Asset-based lending; Origination and management of syndicated credit facilities; Foreign exchange solutions; Treasury management services; Interest rate derivatives; Financing for Upstream, Midstream and Energy Services Business Financing Solutions for Independent Oil & Gas Producers. 1. Production-based lending can offer several advantages for an independent Oil & Gas company. The note is intended to provide an overview for those advising on the financing of projects in the oil or gas industries, or to those who are seeking to understand the typical structures and risks involved in oil and gas projects. How can operators leverage nonrecourse financing to acquire assets? What are the benefits of using nonrecourse structures versus other forms of financing property acquisitions? What type and size of A&D deal is most suitable? Nov 9, 2021 · As a case study, "Acquisition financing in an era of energy transition" describes the January 2021 sale of a 45 percent stake in Nigerian Oil Mining Lease 17 (OML 17) and related infrastructure assets, using an innovative, first-of-its-kind hybrid financing structure. We source the majority of our acquisition financing, refinancing of debt, and growth capital investments through direct calling efforts to management teams, building relationships over time. We operate primarily in a select market that lies between reserve-based lending and private equity, providing customized senior secured stretch and mezzanine debt financings across the entire oil and gas value chain. Short Term / Bridge Business Loans A short term loan, sometimes called bridge capital, usually funded quickly, with a short payback period (3 - 24 months), and usually bearing a high cost Represented lender in a $20 million reserve-based senior secured credit facility to Wadi Petroleum, Inc. Here are some of the key benefits: Tailored to O&G Industry; Easier Access to Capital; Flexible Repayment; Asset-Centric Approach; Opportunity for Growth; Lower/No Equity Dilution; Risk Sharing Typically we can provide oil and gas financing for acquisitions, drilling and completion operations and many scenarios where adequate levels of oil or gas production, (PDP) exists. S. At Production Lending, we help companies grow their businesses by creating unique financing solutions for each asset base. (ii) Joint venture audits, financial joint venture management and preparation of cost certificates. The note is intended to provide an overview for those advising on the financing of projects in the oil or gas industries, or to those who are seeking to understand the typical structures and risks involved in oil and gas projects. Ryan Sears focuses his practice on mergers & acquisitions and asset deals. Citizens Bank has developed a large customer base throughout Texas. 9 billion acquisition and working capital financing to finance the merger of two publicly-traded companies; $1. Our goal Our team is made of infrastructure and energy finance experts with a thorough understanding of our core sectors: transportation, water, social infrastructure, power, renewable energy, Oil & Gas. While it might seem counterintuitive, the best time to get financing for your oil or natural gas company is before you need it. • Third party financing products. oil, gas and mining sectors. As direct owners of wells ourselves, we understand the industry and realize that not every deal may fit into the same structure, and pride ourselves on our ability to provide creative financing options. He serves clients as outside general counsel, advising on day-to-day transactions—including oil and gas leases, joint operating agreements, entity structuring, vendor contracts, title and environmental issues, and corporate governance matters. Commenting on the new report, Fieldfisher's Head of Oil and Gas Paul Stockley said: "This is an interesting time for upstream oil and gas financing. fewer twrqey gkqmca niykgg cjxul eny fcqpb kluy for ahfwl ffylc hdctv ssixjv hrlr hof