By: Editorial Staff, Date: November 2nd, 2021

From supply chain shortages to decreased demand due to COVID-related travel restrictions, the oil and gas industry has certainly encountered plenty of challenges in recent months. Despite these global challenges, however, mergers and acquisitions (M&A) activity within the oil and gas sector continues to grow, signaling that executives remain optimistic about the future of the industry.

There have been a number of recent and noteworthy examples of M&A activity within the oil and gas industry. So far in Q4 2021, Northern Oil and Gas has purchased a non-operated interest in 400 Bakken wells from Comstock Resources for a total of $154 million, SilverBow Resources has spent $75 million 17,000 net acres in the Eagle Ford from two different sellers, and an undisclosed buyer has spent $100 million purchasing 22,000 net acres in the Eagle Ford from Callon Petroleum. These deals come in the wake of a recent Conoco Phillips-Shell transaction that saw the purchase of 225,000 net acres in the Delaware Basin for $9.5 billion.

With a lot of days left in Q4 2021, M&A activity within the oil and gas industry has already amounted to a total of $47.5 billion, and 2021 is easily on track to become the most active year for oil and gas M&A since 2014. Given all of the challenges that oil and gas companies across the globe have faced over the past year and a half, reaching this benchmark is truly an impressive feat.

While there are still plenty of obstacles for the oil and gas industry to overcome in the coming months, this growing M&A activity indicates that operators are still actively trying to increase their acreage positions, and all indications are that M&A activity within the oil and gas industry will continue to grow throughout the foreseeable future.

Upcoming Webcasts

2022-06-23T21:57:16-04:00

What the DOJ’s New Cryptocurrency Task Force Means for Your Firm: Key Trends and Risk Mitigation Strategies

As digital assets and distributed ledger technologies continue to develop, cybercrimes involving cryptocurrencies also worsen. From email phishing to ransomware, hackers have shifted their attacks into more pervasive and malicious forms breaking even the most sophisticated security systems. Thus, the DOJ, together with the National Cryptocurrency Enforcement Team (NCET) headed by Eun Young Choi, further expands its efforts to scrutinize and regulate the cryptocurrency market. Businesses involved in the cryptocurrency space should be well-versed with all the emerging developments and scrutiny efforts that apply within the industry to avoid legal pitfalls.

Tweets

back