Industry News: First Quarter 2025

Chevron partnered with investment firm Engine No. 1 and GE Vernova to develop the first multi-gigawatt natural gas-fired power plants co-located with data centers in the U.S. The joint venture expects initial service by 2027 and will deliver 4 GW of electricity, the equivalent of powering approximately 3 million homes.

Eversource Energy sold Aquarion Water to Connecticut-based Aquarion Water Authority for $2.4 billion. Aquarion serves 250,000 water and wastewater customers in 72 cities.

Coterra Energy purchased Delaware Basin assets from Franklin Mountain Energy and Avant Natural Resources for $3.9 billion. The transactions add 950 net locations, in Lea County, NM on 49,000 net acres that are contiguous with Coterra’s northern Delaware Basin acreage. Coterra also added 1,650 net royalty acres from Sandia Minerals for $43 million.

Pine Run Gathering, a joint venture between Energy Spectrum Partners and UGI, purchased three gathering systems in PA from Superior Midstream Appalachian valued at $120 million. All three systems have long-term acreage dedications and total combined daily flow of 190 MMCFD.

CNX acquired Apex Energy II’s upstream and midstream assets for $505 million that includes 36,000 net acres in Westmoreland County, PA.

Atlas Energy Solutions acquired Moser Energy Systems for $220 million, including a fleet of natural gas-powered assets with 212 MW of capacity.

Diversified Energy acquired Maverick Natural Resources for $1.275 billion that include assets in multiple operating zones in the northern Delaware Basin, Northwest Shelf, and Central Basin Platform. In the Western Anadarko, Maverick’s assets directly offset Diversified’s Cherokee Play. Maverick’s production will add 350 MMCFED.

Shell purchased a 609-MW combined cycle gas turbine power plant in Rhode Island from RISEC Holdings. Shell will supply energy according to previous supply agreements and secure long-term energy offtake from the plant.

Blackstone purchased Ares Management’s Potomac Energy Center for $1 billion. The Potomac Energy Center is a 774-MW natural gas plant located in Northern VA near 130 data centers. The region represents 25% of U.S. data center capacity. The plant also has the potential to integrate a hydrogen fuel blend.

Ovintiv sold its Utah Uinta Basin assets to FourPoint Resources for $2 billion that includes 126,000 net acres in the Uinta’s oil window. Production from the assets is 29,000 BBLD

Ovintiv acquired Montney assets from Paramount Resources for $2.38 billion adding 109,000 net acres and 70,000 BOED to Ovintiv’s existing Montney portfolio.

Helmerich & Payne acquired KCA Deutag for $1.97 billion. KCA’s assets add a global geographic footprint in the Middle East.

GridStor acquired a battery energy storage project in OK from Black Mountain Energy. The project will be sited near multiple operating and developing data centers.

Green Lantern Solar divested its 500 KW Brighton Solar project in VT to Sea Oak Capital. The project is located on the closed portion of a gravel operation.

Amplify Energy combined with certain Juniper Capital portfolio companies that adds 287,000 acres in the Denver-Julesburg and Powder River basins, adding 19 MMBOE of proved developed resources.

Langford Energy Partners acquired 8,000 acres in the Midland Basin from Murchison Oil and Gas. The assets produce 7,200 BOED from 63 operated horizontal wells and includes oil, gas, and water infrastructure including two saltwater disposal wells.

USA BioEnergy acquired 1,600 acres in East TX to build a $2.8 billion biorefinery where it will convert wood waste into sustainable aviation fuel having already secured a 20-year offtake agreement with Southwest Airlines for up to 680 million gallons of sustainable aviation fuel from the facility.

Kinder Morgan acquired Outrigger Energy II’s North Dakota gathering and processing network for $640 million that includes a 270 MMCFD processing plant and a 104-mile pipeline with 350 MMCFD capacity.

Lion Equity Partners acquired Warren Equipment’s Global Compression Services, a global distributor of OEM and aftermarket parts and components for reciprocating natural gas engines and compressors.

LS Power acquired Algonquin Power & Utilities’ renewable energy business, adding 23 GW of renewable energy and storage to its fleet.

Phillips 66 acquired EPIC Y-Grade’s TX NGL assets for $2.2 billion. The deal includes 175,000 BBLD capacity NGL pipeline that links production in the Permian to the Gulf Coast near Corpus Christi, TX. The purchase of EPIC’s network will give the company ties to fractionation production and shipping facilities at three locations along the coast.

Howard Energy Partners acquired a 120-mile, bi-directional TX ethylene pipeline from EPIC Midstream that connects ethylene production facilities in Gregory to storage tanks in Markham.

Shell awarded SLB drilling contracts across Shell’s deepwater and ultra-deepwater assets in the U.K. North Sea, Trinidad and Tobago, and the GOM over a three-year period and includes digital directional drilling services, logging while drilling, surface logging, cementing, drilling and completions fluids, completions and wireline services.

Plains All American Pipeline paid $725 million to acquire EnCap Flatrock’s Ironwood Midstream Energy and its Eagle Ford Basin gathering system, Medallion Midstream’s Delaware Basin 140-mile crude oil pipeline and 106,000 BBLD of crude oil storage capacity, and the remaining 50% interest in Midway Pipeline.

Kimbell Royalty Partners acquired mineral and royalty interests under the Mabee Ranch concentrated in Martin and Andrews counties, TX from Boren Minerals for $231 million. The interest covers 875 gross producing wells across 68,000 gross acres. Operators on the acreage include ConocoPhillips, Diamondback, and Exxon.

Delek Logistics purchased Gravity Water Midstream for $285 million. Gravity’s operations include full-cycle water systems in the Permian Basin as well as produced water gathering and transportation assets in the Bakken.

Pembina Gas Infrastructure paid $291.6 million to Whitecap Resources for 50% ownership of the Alberta, Canada, Kaybob Complex natural gas processing plant with a capacity of 165 MMCFD and a condensate stabilization capacity of 15,000 BBLD.

One Equity Partners acquired Ethos Energy Group which supplies industrial gas turbines to the power generation, energy, industrial, and aerospace and defense markets.

EQT divested $1.25 billion of non-operated assets in northeastern PA to Equinor with net production of 350 MMCFD.

DT Midstream acquired the Guardian Pipeline, Midwestern Gas Transmission and Viking Gas Transmission from ONEOK for $1.2 billion. The pipelines have a capacity of 3.7 BCFD and span 1,300 miles across seven Midwest states.

EQT sold a non-controlling interest in a new midstream joint venture to Blackstone for $3.5 billion that includes EQT’s Mountain Valley Pipeline and Hammerhead Pipeline as well as some storage and transmission assets.

Ecopetrol acquired Repsol Colombia, which GeoPark had agreed to purchase for $530 million. Ecopetrol, the operator of Block CPO-9, exercised its preemptive rights under the terms of a joint operating agreement to acquire 100% of Repsol Colombia., which owns a 45% non-operated working interest in the block.

FREYR Battery purchased a Wilmer, TX 5-GW solar module facility from Trina Solar for $380 million. The facility is expected to be fully operational by the second half of 2025 with first solar cell production in 2026.

Vermilion Energy acquired Canada’s Westbrick for $745 million with Alberta Deep Basin assets including 700 drilling locations, production of 50,000 BOED, and four operated gas plants with 102 MMCFD capacity.

The Canada Pension Plan acquired Allete for $6.2 billion after getting approval from FERC. The electric utility is the parent company of Minnesota Power and serves 145,000 residents, 15 municipalities, and large industrial customers.

LandBridge acquired 46,000 Delaware Basin surface acres for $245 million from VTX Energy Partners.

Exxon paid $535 million to SBM Offshore for the FPSO Liza Destiny operating offshore of Guyana through 2033. The FPSO has been on hire since December 2019. It can store 1.6 MMBBL of oil.

Matador Resources added its Pronto Midstream subsidiary, valued at $600 million, to its joint venture with Five Point Energy. Matador owns a 51% stake in the JV midstream.

Diamondback subsidiary Cottonmouth Ventures contributed $50 million to Verde Clean Fuels which will build plants to produce gasoline using a Verde-patented process from associated natural gas feedstock supplied by Diamondback operations in the Permian.

Woodside and Chevron agreed to an asset swap under which Woodside acquired Chevron’s interest in the North West Shelf Project, the NWS Oil Project and the Angel Carbon Capture and Storage Project and received $400 million. Woodside transferred all of its interest in the Wheatstone LNG and natural gas project, which Chevron operates in a joint venture with Woodside, and the Julimar-Brunello gas fields project to Chevron.

Freehold Royalties purchased Midland Basin mineral and royalty interests for $182 million that includes 1,600 BOED of light oil production with 95% of the production operated by Exxon and Diamondback.

Vitesse Energy acquired Lucero Energy’s Bakken/Three Forks assets, including 25 net remaining locations, 1.9 net DUCs and 20 recompletions for $222 million.

Phillips 66 sold its 25% stake in the Gulf Coast Express natural gas pipeline to ArcLight Capital Partners for $865 million. The pipeline has 2 BCFD capacity and is a 500-mile pipeline system that connects the Permian Basin to the Agua Dulce hub in South TX near Corpus Christi.

Northern Oil and Gas acquired a 15% working interest in an Appalachian Basin joint development program with an Appalachian operator valued at $160 million.

Dow sold a 40% stake in some of its Gulf Coast infrastructure in TX and LA to Macquarie Asset Management for $2.4 billion. The two companies formed Diamond Infrastructure Solutions to focus on infrastructure service for Dow and industrial customers in TX and LA. Diamond will be comprised of power and steam production assets, pipelines, environmental operations, and general site infrastructure located at five of Dow’s manufacturing sites in Freeport, Texas City, and Seadrift in TX and Plaquemines and St. Charles in LA.

Chevron sold its Canadian oil sands assets as well as a 70% stake in Duvernay Shale assets for $6.5 billion to Canadian Natural Resources. Production in the upcoming year for the acquired assets is expected to be 122,500 BOED. At Duvernay, 2025 production is expected to be 60,000 BOED.

Crescent Energy acquired Eagle Ford assets from Ridgemar Energy for $905 million. The deal adds contiguous scale in Frio, Atascosa, La Salle and McMullen counties, TX with production of 20,000 BOED.