Page 12 - NorthAmOil Week 16 2022

NorthAmOil NEWS IN BRIEF NorthAmOil

forestry waste feedstock into cleaner-burning operating cash flow. Our new brand represents opportunity to build on our growing
renewable diesel producing approximately a renewed sense of purpose, enthusiasm, and inventory of Haynesville minerals assets
34mn gallons of renewable fuel per year. The commitment to our employees, stakeholders, with existing production and line of sight
project achieves its negative carbon footprint vendors, and local communities to name development over the next several years.
through carbon capture and sequestration a few,” said chief executive officer Chuck Including this acquisition, we have now
(CCS), renewable power, and forestry waste Duginski. acquired approximately 5,000 net royalty acres
feedstocks. The LGF plant’s emission for “Canvas embodies who we are today and in the Haynesville deploying an estimated
production of its renewable diesel represents where we are striving to go in many ways. In $40.0mn of capital while maintaining a strong
a reduction in greenhouse gas emissions of art, a blank canvas is a platform on which the balance sheet.
approximately 400% relative fossil diesel fuel artist makes their creative mark. To canvas Since January 2020, our focus has been
and is the equivalent of removing about a a group or an area is to examine it carefully, to pursue natural gas assets as we believe it
quarter of amn cars from the road. leaving no detail unobserved. In sailing, a is a key component to the energy transition.
STRATEGIC BIOFUELS, April 21, 2022 ship’s canvas is the set of sails that propels the The Haynesville is a premier natural gas
vessel forward under the skillful control of resource that is at the front door of US LNG
the crew. Our logo also honours Oklahoma’s export terminals. This will prove to be a
MOVES oil and gas heritage, while leaning forward vital source in alleviating the energy crisis in
toward the future.” Europe, which began well before and has only
Chaparral Energy completes headquarters in Oklahoma City, Oklahoma. intensified since the invasion of Ukraine.”
Canvas Energy will maintain its
PHX MINERALS, April 19, 2022
its strategic transformation The updated branding will be rolled out over Surge Energy America
the coming months, with immediate changes
and unveils corporate to the website and contact information. announces increased
CHAPARRAL ENERGY, April 20, 2022
rebranding as Canvas PHX Minerals announces borrowing base and elected
Energy

Chaparral Energy, a privately held company, acquisition in the commitments of revolving
announced its corporate rebranding to Haynesville credit facility
Canvas Energy, completing its strategic
transformation. The rebranding includes the PHX Minerals today announced a mineral Surge Energy US Holdings announces an
launch of a new name, logo, website, and and royalty acquisition targeting the increased borrowing base from $1.2bn to
updated corporate presentation that build Haynesville play in East Texas and Louisiana. $1.5bn and elected commitments from
on the company’s premier operations and PHX has agreed to acquire approximately 506 $860mn to $935mn on the company’s
financial strength as well as its creative and net royalty acres for aggregate consideration revolving credit facility. The increases are in
hard-working employees. of $5,100,000 in cash from a private seller connection with the credit facility’s regularly
“While we have a long history as a subject to customary closing adjustments. scheduled semi-annual redetermination that
trusted operator in Oklahoma, we have The transaction will be funded with a recently closed.
made tremendous progress over the last combination of cash on hand and borrowings As of March 31, 2022, the company had
several years in completely transforming our under our existing credit facility. The Board of approximately $88mn in cash and $255mn
business. We have clearly articulated our ESG Directors of PHX unanimously approved the drawn on the Credit Facility. Pro forma
principles and have become leaders in EH&S Acquisition, which is subject to certain closing liquidity is approximately $768mn based
performance. Our strategy is now centered conditions and is expected to close by May 27, on the March 31, 2022 cash on hand and
on sustainable free cash flow generation 2022. undrawn elected commitments as of the close
through efficient low-cost field operations, Chad Stephens, president and CEO, of the redetermination.
supported by prudent reinvestment in high- commented: “Since January 2020, when I was As part of the redetermination, the credit
return development drilling and accretive appointed CEO, we have been pursuing the facility also switched benchmarks to the
acquisitions. With fresh assets and a strong acquisition of minerals in the Haynesville secured overnight financing rate (SOFR) from
balance sheet, we have significant flexibility underneath active reputable operators. the sunsetting LIBOR.
and are able to self-fund our strategy out of This acquisition is another excellent “Surge greatly values the relationship and

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