Page 12 - NorthAmOil Week 30 2022
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NorthAmOil                                   NEWS IN BRIEF                                        NorthAmOil






























       Talos in talks to buy EnVen         not respond to a comment request.    refurbishment and completion of two
                                              Adage declined comment, while EIG did
                                                                                floating production units (FPU). Following
       for $1bn                            REUTERS                              completion, these vessels will work in the Gulf
                                                                                of Mexico and Senegal.
       Talos Energy Inc (TALO.N) is in talks to   Orion Diversified announces     As announced by Keppel on Monday,
       acquire Bain Capital-controlled EnVen Energy                             the first contract is by Keppel AmFELS
       for about $1 billion and also take on the debt   Permian acquisition     with Salamanca FPS Infra, LLC for the
       of the U.S. Gulf of Mexico operator, according                           refurbishment of a floating production unit to
       to people familiar with the matter.  Orion Diversified Holding Co Inc. announced   be operated by LLOG Exploration Offshore, a
         The deal would be among the most   that it has closed on an acquisition of a royalty   private exploration and production company
       significant in recent years in the Gulf, creating   interest in Garza and Lynn County Texas of   in the U.S.
       a bigger company that would be better placed   the Permian Basin.          Keppel AmFELS’ scope of work on the
       to take advantage of higher oil prices.  The property consists of a royalty   production facility includes demolition, hull
         Talos Chief Executive Tim Duncan said   interest in 6,360 acres producing 35 bopd &   modifications, and upgrades to key systems.
       in May the offshore oil and gas operator was   10mcfgpd. Orion now has mineral ownership   Expected to be completed in 2Q 2024, the
       looking for acquisition targets in the U.S. Gulf   in 15,640 Acres in the Permian Basin   Salamanca FPU will have a capacity of 60,000
       of Mexico to boost its production. read more  Wolfcamp Shale & Sprayberry fields.  barrels of oil per day and 40 million cubic
         Talks between the two companies have   Orion owns mineral interest in more than   feet of natural gas per day. It will be deployed
       reached an advanced stage and a deal would   27,721 acres in the Bakken Shale, Permian   in the deep waters of the Gulf of Mexico to
       see Talos buy EnVen using either mostly or all   Basin, Woodford Shale, Haynesville Shale,   service the Leon field and the Castile field.
       stock, the sources said.            Niobrara Shale, Powder River Basin, & Eagle   As previously reported by Offshore Energy,
         The deal value is expected to be higher   Ford Shale.                  LLOG has already secured a deep-draft
       after including EnVen’s debt, which stood at   Revenues are on target to reach $100,000 in  semi-submersible production platform for the
       $288 million at the end of 2021, according to a   the 3rd Qtr. of 2022. Multiple income streams   development of these deepwater fields.
       March presentation on EnVen’s website.  are coming in from 3 horizontal Bakken   Keppel noted that, as the Salamanca
         The sources, who requested anonymity as   North Dakota wells at a 24% Non-Operated   FPU is being upgraded and modified from
       the discussions are confidential, cautioned   Working Interest. Orion is also starting to   a previously decommissioned production
       that the deal talks could still end without an   receive income from our 2+% royalties in   facility, the time, cost and materials to be
       agreement.                          4 wells in Oklahoma, and our operated 3   used are greatly reduced compared with the
         Neither Talos, which has a market value of   well property in the Eagle Ford Shale. Orion   construction of a new facility.
       $1.6 billion and reports earnings on Aug. 4, or   recently purchased a 5% non-operated   The shipbuilder pointed out that the
       EnVen responded to requests for comment.   working interest in 10 wells that are in the   project has a positive Environmental, Social
       Bain Capital declined to comment.   pipeline to generate additional revenues.  and Governance (ESG) impact as it would
         Houston-headquartered Talos has grown   ORION DIVERSIFIED              reduce approximately 70 per cent in carbon
       to become one of the largest operators in the                            emissions compared to a newbuild, and also
       Gulf since being formed around a decade ago.                             circumvents the scrapping of an old unit.
       It has used periodic dealmaking to boost its   SERVICES                  OFFSHORE ENERGY
       scale, making around a dozen acquisitions,
       including the buyout of Stone Energy in 2018.  Keppel hired for GoM floater  Bilfinger wins Shell GoM
         EnVen is backed by Bain Capital, which
       has three directors on the company’s seven-  work                        maintenance deal
       person board, according to EnVen’s website.
       Fellow buyout firms Adage Capital and EIG   Keppel Offshore & Marine’s subsidiaries,   Services firm Bilfinger on Monday announced
       also hold stakes in EnVen, according to an   Keppel AmFELS and Keppel Shipyard,   it has been awarded a multimillion dollar
       April 2021 report from rating agency Moody’s   have been awarded contracts worth around   annual contract for the routine mechanical
       Investors Service.                  S$75 million or about $54 million for the   maintenance scope for Shell‘s oil and gas



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