Page 13 - NorthAmOil Week 08

NorthAmOil
NEWS IN BRIEF
NorthAmOil
diluted share (non-GAAP). Net cash provided by operating activities for fourth quarter 2019 was $803.8mn and EBITDAX was $905.5mn (non-GAAP).
CONTINENTAL RESOURCES, February 26, 2020
MIDSTREAM
ArcLight and Rattler form
50/50 midstream joint
venture
ArcLight Capital Partners and Rattler Midstream, a subsidiary of Diamondback Energy, announced today that Amarillo Midstream, an ArcLight Fund V portfolio company, and an affiliate of Rattler have entered into a 50/50 joint venture to own, operate and expand a natural gas gathering and processing system in the Midland Basin.
The new entity, Amarillo Rattler, is owned 50% by Amarillo Midstream and 50% by
an affiliate of Rattler. The joint venture currently owns and operates the Yellow Rose gas gathering and processing system with estimated total processing capacity of 40,000 mcf/d and over 84 miles of gathering and regional transportation pipelines in Dawson, Martin, and Andrews Counties, Texas.
This joint venture also intends to construct and operate a new 60,000 mcf/d natural gas cryogenic processing plant in Martin County, Texas, as well as incremental gas gathering and regional transportation pipelines.
Amarillo Rattler anticipates that the
new processing plant will commence
full commercial operations in mid-2021. Diamondback has contracted for a portion of the new processing plant’s capacity, which is well-positioned for future expansion, pursuant to a gas gathering and processing agreement entered into with the joint venture in exchange for Diamondback’s dedication of certain leasehold interests to that agreement. ARCLIGHT CAPITAL PARTNERS AND RATTLER MIDSTREAM, February 20, 2020
SERVICES
Oceaneering reports fourth-
quarter and full-year 2019
results
Oceaneering International today reported
a net loss of $263mn, or $(2.66) per share, on revenue of $561mn for the three months ended December 31, 2019. Adjusted net
income was $2.5mn, or $0.03 per share, reflecting the impact of $255mn of pre-tax adjustments, primarily $240mn associated with asset impairments, write-downs and write-offs recognized during the quarter. During the prior quarter ended September 30, 2019, Oceaneering reported a net loss of $25.5mn, or $(0.26) per share, on revenue of $498mn, and an adjusted net loss of $29.7mn, or $(0.30) per share.
For the full year 2019, Oceaneering reported a net loss of $348mn, or $(3.52) per share, on revenue of $2bn. Adjusted net loss was $83mn, or $(0.84) per share, reflecting the impact of $258mn of pre-tax adjustments, primarily $240mn associated with asset impairments, write-downs and write-offs recognized during the year. This compared to 2018 net loss of $212mn, or $(2.16) per share, on revenue of $1.9bn, and adjusted net loss of $69.7mn, or $(0.71) per share.
OCEANEERING INTERNATIONAL, February 24, 2020
MOVES
CenterPoint Energy announces sale of CenterPoint Energy Services business to Energy Capital Partners
CenterPoint Energy today announced it has entered into an agreement to sell its natural gas retail business, CenterPoint Energy
Services (CES) to Energy Capital Partners (ECP), a private equity and credit investor specialising in energy infrastructure projects, for total consideration of approximately $400mn, including estimated working capital at close, subject to the satisfaction
of customary terms and conditions. As
part of the transaction, CES will enter into
a structured long-term Preferred Supply agreement where Shell Energy North America (US), L.P. (SENA) will provide gas supply and collateral support, as well as receive equity warrants. Net proceeds of the sale will be used to repay a portion of outstanding CenterPoint Energy debt.
“The sale of our gas retail business further positions CenterPoint Energy to focus on the long-term performance of our core electric and natural gas utility businesses,” said John W. Somerhalder II, interim president and chief executive officer of CenterPoint Energy. “At the same time, this sale will strengthen our balance sheet and improve our business risk profile.”
Somerhalder added: “When combined with our recent agreement to sell Miller Pipeline and Minnesota Limited, two businesses that comprised our infrastructure services segment, we expect our utility earnings contribution to approach 90% over the next several years.”
CES provides competitive natural gas sales, storage and supply, and other energy- related solutions to approximately 30,000 commercial and industrial customers, utilities and municipalities in more than 30 states. CES is headquartered in Houston and has approximately 300 employees.
CENTERPOINT ENERGY, February 24, 2020
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