Page 10 - NorthAmOil Week 50 2021

NorthAmOil NEWS IN BRIEF NorthAmOil

UPSTREAM president and CEO highlighted: “The a closing share price of $9.98 on December
acquisition further establishes Tamarack as 15, 2021. The effective date of the Chisholm
Tamarack Valley Energy a leading operator in the highly economic Acquisition will be November 1, 2021, with
Clearwater oil play. Acquiring high quality
closing anticipated in the first quarter of
announces strategic assets with significant free funds flow(1) 2022. The cash portion of consideration is
where we can leverage our operational
expected to be funded with cash on hand
Clearwater consolidation and technical expertise is a core principle and borrowings under the Company’s senior
secured revolving credit facility. Earthstone
of Tamarack’s returns focused strategy. In
through the acquisition of addition, Tamarack’s transition to the SLL has obtained commitments from a group of
facility demonstrates our commitment to
existing lenders to increase the borrowing
Crestwynd Exploration and responsible development.” base and elected commitments under its
Credit Facility from $650mn to $825mn upon
TAMARACK VALLEY ENERGY, December 15,
transition to sustainability 2021 closing.
EARTHSTONE ENERGY, December 16, 2021
linked lending Earthstone Energy
Tamarack Valley Energy is pleased to announces Northern MIDSTREAM
announce that it has entered into a definitive
agreement to acquire Crestwynd Exploration, Delaware Basin asset Gibson Energy and US
a privately held pure play Clearwater
oil producer, for total consideration of acquisition for ~$604mn Development Group declare
CAD184.7mn. The consideration consists of:
(i) CAD92.6mn in cash, subject to adjustment; Earthstone Energy today announced that the DRU Fully Operational,
and (ii) the issuance of 26,298,396 common it has entered into an agreement to acquire
shares of Tamarack at a deemed price of the assets of privately held Chisholm Energy including shipment
CAD3.50 per Tamarack share. Holdings, located in the northern Delaware
Tamarack’s syndicate has provided Basin of New Mexico. Chisholm is majority of DRUbit™ By Rail™,
an extension of the Company’s existing owned by Warburg Pincus and its affiliates.
CAD600mn revolving credit facility to The aggregate purchase price of the providing an innovative,
December 2023 and transitioned the facility Chisholm Acquisition is approximately
to a sustainability linked lending facility (SLL $604mn consisting of $340mn in cash scalable market access
facility). In conjunction with the Acquisition, at closing, subject to customary closing
National Bank Financial as syndicate lead, adjustments, $70mn of deferred cash due over solution throughout North
has provided commitments for a separate and the 12 months after closing and approximately
additional CAD100mn credit facility. 19.4mn shares of Earthstone’s Class A America
Brian Schmidt (Aakaikkitstaki), Tamarack’s common stock valued at $194mn based on
US Development Group, (through a wholly
owned affiliate, collectively USD) and Gibson
Energy announced the diluent recovery unit
(DRU) has been declared fully operational
and the shipment of DRUbit™ by Rail™ (DBR)
has commenced. The DBR network creates
a first-of-its-kind separation technology and
network that safely and sustainably moves
heavy Canadian crude oil, also known as
bitumen, from Canada to the US Gulf Coast
at a cost that is competitive with pipeline
alternatives.
The DRU is located at the Hardisty Energy
Terminal (HET) near Hardisty, Alberta and
is a 50%/50% joint venture between USD and
Gibson. HET is located adjacent to USD’s
existing Hardisty Rail Terminal, which is
the origination terminal for transloading
the DRUbit™ onto railcars for shipment. The
current destination terminal for the DRUbit™
is the USD-owned and operated Port Arthur
Terminal (PAT) in Port Arthur, Texas. The
DRUbit™ is owned by ConocoPhillips.
This DBR network is highly scalable and
is well-positioned for future commercial
expansions. USD and Gibson continue to

P10 www. NEWSBASE .com Week 50 16•December•2021