Insights

Stone Ridge Buys Oklahoma Assets From ConocoPhillips

DETAILS

- Stone Ridge Holdings Group announced the acquisition of Oklahoma energy assets from ConocoPhillips for approximately $1.3 billion. - This acquisition brings Stone Ridge Energy's total portfolio to over 11 GW of power. - It marks SRE's second acquisition of the year after a previously completed purchase of over $1 billion in energy assets in Colorado. - Since its launch in 2021, SRE has invested nearly $9 billion in upstream energy assets. - The firm's strategy aligns with the increasing energy demand driven by bitcoin mining, AI data centers, and LNG-dependent countries. - Stone Ridge has generated $9 billion in trading profits for investors since the beginning of 2023. - NYDIG, a Stone Ridge-controlled affiliate, has developed technology to profit from stranded energy during the natural gas well lifecycle. - CEO Ross Stevens emphasized the acquisition as a significant step in supporting sound money and innovative solutions to meet global energy needs.

COMPANIES

Stone Ridge, ConocoPhillips, NYDIG

TAGS

oil and gas

Occidental Announces 2nd Quarter 2025 Results

DETAILS

- Occidental announced $950 million in additional divestitures since the start of the second quarter of 2025, with approximately $370 million already closed. - The company has repaid $3.0 billion of debt year-to-date through asset sales, organic cash flow, and proceeds from exercised warrants. - Operating cash flow for the quarter was $3.0 billion, with operating cash flow before working capital at $2.6 billion. - Capital spending amounted to $2.0 billion, alongside contributions from noncontrolling interest of $51 million, resulting in quarterly free cash flow before working capital of $0.7 billion. - Total company production was above the mid-point of guidance, reaching 1,400 Mboed. - Midstream and marketing operations exceeded the high-end of guidance for pre-tax adjusted income. - The earnings per diluted share were $0.26, while the adjusted earnings per diluted share were $0.39. - The mid-point of 2025 capital guidance was reduced by $100 million and international operating costs by $50 million, reflecting ongoing operational efficiency gains. - Year-to-date, Occidental identified $500 million in capital and operating cost reductions from the original guidance. - Net income attributable to common stockholders was $288 million for the second quarter of 2025. - Adjusted income attributable to common stockholders was $396 million for the same period. - Oil and gas pre-tax income for the quarter was $934 million, with a decrease attributed to lower commodity prices, partially offset by higher crude oil volumes and lower lease operating expense. - Average WTI and Brent prices were $63.74 per barrel and $66.59 per barrel, respectively, with a 10% decline in average worldwide realized crude oil prices from the prior quarter. - Total average global production was 1,400 Mboed, with significant contributions from the Permian, Rockies & Other Domestic, Gulf of America, and International regions. - OxyChem pre-tax income stood at $213 million, remaining relatively unchanged from the first quarter, affected by negative inventory adjustments but boosted by improved export demand for caustic soda and PVC. - Midstream and marketing pre-tax income reached $49 million, with results exceeding guidance due to increased gas marketing margins and higher sulfur prices. - The press release includes forward-looking statements regarding Occidental's expectations and plans, highlighting various risks and uncertainties that could affect future performance.

COMPANIES

Occidental, OxyChem, Oxy Low Carbon Ventures

TAGS

oil and gas

Presidio Petroleum to go Public via Business Combination with EQV Ventures Acquisition Corp

DETAILS

- Presidio Petroleum is set to go public through a business combination with EQV Ventures Acquisition Corp, establishing a dividend yield-driven C Corporation focused on oil and natural gas optimization and production. - Presidio plans to initiate a $1.35 annual dividend per share, equating to a 13.5 percent expected dividend yield at a $10 share price after closing. - The company anticipates net production of 26 Mboe/d in 2025, with an 8 percent base decline rate from over 2,000 operated wells in Texas, Oklahoma, and Kansas. - An experienced management team will lead Presidio alongside a majority independent board. - Approximately 78 percent of estimated production is hedged through 2027, which is expected to provide a stable cash flow for dividends and debt reduction. - The expected unlevered free cash flow yield is projected at 16 percent in 2026, with no development risk involved. - Transaction capital is estimated to be around $970 million, which includes rollover equity, PIPE investment from new investors, preferred equity, reserve-based loan commitments, and existing investment-grade debt. - The business combination will give Presidio an estimated post-transaction enterprise value of approximately $660 million and a public listing on the New York Stock Exchange under the ticker "FTW." - Presidio will acquire an additional Texas Panhandle asset from EQV Resources as part of the transaction. - The combined company aims to create a stable dividend based on cash flow from hedged production of mature oil and gas wells. - Presidio focuses on acquiring under-managed oil and gas wells and optimizing production through technology such as automation and AI processes. - The public offering aligns with a trend in the energy sector towards capital discipline and maximizing returns on existing assets. - The company's management has committed to using technology efficiencies to create long-term value and ensure superior returns. - The business structure and investor commitments are intended to support Presidio's position as a preferred consolidator in the oil and gas sector. - The transaction financing includes several components such as PIPE investments, rollover equity, perpetual preferred stock, and reserve-based lending. - Presidio's management has reiterated its commitment to efficient and predictable operations within a simple business model.

COMPANIES

Presidio Petroleum, EQV Ventures Acquisition Corp., Morgan Stanley Energy Partners, JPMorgan Investment Management, Citizens Bank

TAGS

oil and gas

Coterra Energy Reports Second-Quarter 2025 Results, Announces Quarterly Dividend, and Provides Guidance Update

DETAILS

- Coterra Energy reported second-quarter 2025 financial results and declared a quarterly dividend of $0.22 per share. - The company exceeded production guidance, with total BOE and natural gas production above the high end of expectations. - Capital expenditures were below the low end of guidance for the quarter. - Coterra expects consistent activity in the second half of 2025 with nine rigs in the Permian, two in the Marcellus, and one to two in the Anadarko. - Full-year 2025 total equivalent and natural gas production guidance has been increased while maintaining oil production midpoint. - Expected capital expenditures for 2025 are approximately $2.3 billion. - Projected Free Cash Flow for 2025 is anticipated to total $2.1 billion. - Direct shareholder returns for the second quarter were approximately 58% of Free Cash Flow, totaling about $191 million. - Coterra announced a new power netback gas sale agreement in the Permian, set to start in 2028. - The company published its 2025 Sustainability Report on August 4, 2025. - Net Income for the second quarter was $511 million, or $0.67 per share, with adjusted net income of $367 million, or $0.48 per share. - Cash Flow from Operating Activities totaled $937 million, while Free Cash Flow was $329 million. - Unit operating cost was $9.34 per BOE, which is near the midpoint of guidance. - Total equivalent production reached 783.9 MBoepd, surpassing guidance. - Oil production averaged 155.4 MBopd, and natural gas production averaged 2,998.6 MMcfpd, exceeding expectations. - Coterra's Board approved a quarterly dividend of $0.22 per share, equivalent to a 3.6% annualized yield. - During the quarter, the company repurchased 0.9 million shares for $23 million. - The company expects to return 50% or more of annual Free Cash Flow to shareholders through dividends and repurchases. - Coterra has paid down $350 million of term loans year-to-date, with $650 million of term loan debt remaining as of June 30, 2025. - Total debt outstanding was $4.15 billion, with cash and cash equivalents at $192 million. - Coterra remains committed to its sustainability and environmental stewardship initiatives. - A conference call will be held to discuss the financial results on August 5, 2025.

COMPANIES

Coterra Energy Inc., CPV Basin Ranch Energy Center, Franklin Mountain Energy, Avant Natural Resources

TAGS

oil and gas

Coterra Energy Reports Second-Quarter 2025 Results, Announces Quarterly Dividend, and Provides Guidance Update

DETAILS

- Coterra Energy Inc. reported strong second-quarter 2025 financial and operating results, declaring a quarterly dividend of $0.22 per share. - Total barrels of oil equivalent and natural gas production exceeded guidance, with oil volumes exceeding midpoint estimates by about 2%. - Capital expenditures were below the low-end of guidance at approximately $569 million. - Coterra increased its full-year 2025 total equivalent and natural gas production guidance while maintaining the oil production midpoint. - The company expects 2025 capital expenditures to be around $2.3 billion, maintaining consistent activity in the second half of the year with nine rigs in the Permian and additional rigs in other regions. - Free Cash Flow for 2025 is anticipated at $2.1 billion at current strip prices. - Direct shareholder returns in the second quarter totaled about 58% of Free Cash Flow, including the declared dividend and share repurchases. - A new power netback gas sale agreement in the Permian, expected to start in 2028, aims to diversify natural gas marketing. - Coterra published its 2025 Sustainability Report on August 4, 2025. - Second-quarter 2025 net income was $511 million, with adjusted net income of $367 million. - Cash Flow From Operating Activities reached $937 million, and Free Cash Flow amounted to $329 million. - Unit operating costs totaled $9.34 per barrel of oil equivalent, near the midpoint of the annual guidance range. - Total equivalent production for the quarter was 783.9 thousand barrels of oil equivalent per day, exceeding guidance. - Oil production averaged 155.4 thousand barrels per day, while natural gas production averaged 2,998.6 million cubic feet per day. - Average realized prices for oil were $62.80 per barrel, and for natural gas, they were $2.20 per thousand cubic feet. - The Board of Directors approved a quarterly dividend of $0.22 per share, equating to a 3.6% annualized yield based on recent share prices. - The company repurchased 0.9 million shares for $23 million, with $1.1 billion remaining under its $2 billion share repurchase authorization. - Coterra plans to return at least 50% of annual Free Cash Flow to shareholders, while prioritizing debt reduction efforts. - The company expects 2025 capital expenditures of approximately $2.3 billion and third-quarter production guidance including total equivalent production of 740 to 790 thousand barrels of oil equivalent per day. - Coterra issued $1.0 billion of new debt following acquisitions and has paid down $350 million year-to-date, retaining $650 million in term loan debt outstanding. - Coterra is committed to environmental stewardship and sustainable practices, emphasizing strong corporate governance. - Coterra will host a conference call on August 5, 2025, to discuss its financial and operating results for the second quarter. - The company operates primarily in the Permian Basin, Marcellus Shale, and Anadarko Basin, focusing on efficient energy production and sustainable returns.

COMPANIES

Coterra Energy Inc., CPV Basin Ranch Energy Center, Franklin Mountain Energy, Avant Natural Resources

TAGS

oil and gas

Diamondback Energy, Inc. Announces Second Quarter 2025 Financial and Operating Results

DETAILS

- Diamondback Energy reported average oil production of 495.7 MBO/d and total production of 919.9 MBOE/d for Q2 2025. - The company generated net cash from operating activities of $1.7 billion and operating cash flow before working capital changes of $2.1 billion. - Cash capital expenditures amounted to $864 million while free cash flow was $1.2 billion, and adjusted free cash flow was $1.3 billion. - A base cash dividend of $1.00 per share was declared for Q2 2025, with a 2.7% annualized yield based on a share price of $146.14. - Diamondback repurchased nearly 3 million shares of common stock for approximately $398 million at an average price of $133.15 per share during Q2 2025. - A total return of capital for Q2 2025 was $691 million, representing approximately 52% of adjusted free cash flow. - The company increased its share repurchase authorization to $8.0 billion, with $3.5 billion available for future repurchases. - Full-year oil production guidance was narrowed to 485 - 492 MBO/d and BOE guidance increased to 890 - 910 MBOE/d. - Cash capital expenditures guidance for the year was lowered to $3.4 - $3.6 billion, down $500 million from the original guidance. - In Q3 2025, oil production guidance is projected at 485 - 495 MBO/d and cash capital expenditures are guided to be between $750 and $850 million. - In the Midland Basin during Q2 2025, 121 gross wells were drilled and 108 wells were completed; in the Delaware Basin, 1 gross well was drilled and 8 were completed. - For the first half of 2025, 248 gross wells were drilled and 239 were completed across both basins. - Diamondback's net income for Q2 2025 was $699 million, translating to $2.38 per diluted share, while adjusted net income was $785 million or $2.67 per diluted share. - The average unhedged realized prices for Q2 2025 were $63.23 per barrel of oil and $39.61 per BOE as a total equivalent unhedged price. - Cash operating costs averaged $10.10 per BOE, with lease operating expenses at $5.26 per BOE. - Diamondback had $191 million in cash and $595 million borrowed under its revolving credit facility, with $1.9 billion available for future borrowings. - The company maintains consolidated total debt at $15.3 billion and consolidated net debt at $15.1 billion as of June 30, 2025. - The Board has reviewed future base and variable dividends, subject to their approval. - Diamondback closed Q2 2025 with plans for ongoing stock repurchases, and is also considering asset sales to facilitate these purchases.

COMPANIES

Diamondback Energy, Inc., Viper Energy, Inc., Sitio Royalties Corp.

TAGS

oil and gas

OpenAI introduces Stargate Norway with Nscale and Aker

DETAILS

- OpenAI is launching Stargate Norway, its first AI data center initiative in Europe under the OpenAI for Countries program. - Stargate is OpenAI's overarching infrastructure platform aimed at delivering the benefits of AI to everyone. - AI is a foundational technology that can enhance productivity, drive economic growth, and fuel new industries. - Large-scale compute capacity in Europe will ensure that AI transformation benefits developers, researchers, scientists, and startups in Norway and Europe. - The number of weekly active ChatGPT users in Norway has quadrupled in the past year, primarily among individuals under 35. - Stargate Norway partners include Nscale, an AI infrastructure provider, and Aker, a company with a long legacy in energy and industry. - The site will be designed and built by Nscale and will be owned by a 50/50 joint venture between Nscale and Aker. - Stargate Norway plans to deliver 230MW of capacity, with aspirations to expand by an additional 290MW. - The facility aims to deliver 100,000 NVIDIA GPUs by the end of 2026, with plans for significant future expansion. - Narvik's hydropower, low-cost energy, cool climate, and mature industrial base make it ideal for sustainable AI capacity. - The facility will operate entirely on renewable power and will use closed-loop, direct-to-chip liquid cooling for efficiency. - Excess heat from the GPU systems will support low-carbon enterprises in the region. - Aker and Nscale will provide priority access to Norway's AI ecosystem for local startups and researchers. - Surplus capacity will be available to public and private sector users across the UK, Nordics, and Northern Europe. - OpenAI will engage with Norwegian government officials to explore collaboration opportunities and boost AI adoption. - Stargate Norway follows the earlier launch of Stargate UAE and illustrates OpenAI's partnerships with governments and industrial leaders worldwide. - OpenAI signed a memorandum of understanding with the UK Government to accelerate AI adoption and infrastructure development. - The organization has partnered with the Government of Estonia to deploy ChatGPT in secondary schools and submitted interests for the EU's AI Gigafactories initiative. - These initiatives are in the early stages but hold potential to enhance Europe's future and provide sovereign compute capacity.

COMPANIES

OpenAI, Nscale, Aker, NVIDIA

TAGS

Power

The Ether Machine to Go Public with Over $1.5 Billion of Fully Committed Capital

DETAILS

- The Ether Machine expects to launch with over 400,000 Ether and aims to manage the largest pool of assets for institutional-grade exposure to Ethereum and ETH-denominated yield. - It is led by Ethereum pioneers with extensive experience in driving Ethereum's development within the digital asset ecosystem. - A record financing commitment was announced with around $645 million from Andrew Keys and over $800 million from top-tier institutional investors. - The Ether Machine announced a public launch through a business combination with Dynamix Corporation, with plans to trade on NASDAQ under the ticker symbol "ETHM." - The company aims to provide secure and compliant access to Ethereum yields through staking, restaking, and decentralized finance strategies. - The leadership team includes experienced individuals from Ethereum and financial industries, each with significant contributions in previous roles. - Andrew Keys has a history of driving institutional Ethereum adoption and co-founded DARMA Capital. - David Merin was involved in raising over $700 million for Consensys and led several strategic initiatives. - Tim Lowe has two decades of experience in financial systems and previously worked on institutional staking platforms. - Darius Przydzial has a background in DeFi, advising top protocols and has extensive experience in quantitative research. - Jonathan Christodoro has served on the boards of several investment firms and is currently with PayPal. - The Ether Machine's strategy focuses on generating alpha through stable yield strategies and supporting Ethereum-native projects. - Their business model includes offering infrastructure solutions for institutions and ensuring regulatory compliance. - The transaction marks a historic moment as the largest common-stock financing since 2021 and will close by the fourth quarter of 2025. - Citigroup Global Markets is the capital markets advisor, and several law firms are providing legal support for the transaction. - An investor conference call is scheduled to discuss the transaction. - The Ether Machine aims to set new standards for excellence in digital assets while taking advantage of regulatory clarity. - The company expects to generate and optimize ETH-denominated returns while providing enterprise services to Ethereum-native builders. - The combination will significantly increase the scale of capital available to the Ether Machine, making it the largest public entity focused on Ether generation. - The proposed transactions require SEC approval, and detailed filings will be available to shareholders. - This press release is for informational purposes and does not constitute an offer for securities sales. - A list of potential risks related to the transaction, including market dynamics and regulatory reviews, is detailed. - Forward-looking statements discuss expectations around the business combination and its anticipated benefits, but actual results may differ.

COMPANIES

The Ether Machine, Andrew Keys, 1Roundtable Partners, 10T Holdings, Archetype, Blockchain.com, cyber•Fund, Electric Capital, Kraken, Pantera Capital, Consensys, Microsoft, Enterprise Ethereum Alliance, Intel, BP, Accenture, DARMA Capital, David Merin, Tim Lowe, Darius Przydzial, Jonathan Christodoro, Icahn Capital LP, Morgan Stanley, PayPal, eBay, Citigroup Global Markets, Inc., Skadden, Arps, Slate, Meagher & Flom LLP, Davis Polk & Wardwell LLP, Cohen & Company Capital Markets, Scotia Capital, Dynamix Corporation, DYNX.

TAGS

fundraising

Range Announces Second Quarter 2025 Results

DETAILS

- RANGE RESOURCES CORPORATION announced its second quarter 2025 financial results. - Cash flow from operating activities was $336 million. - Cash flow from operations, before working capital changes, was $301 million. - The company repurchased $53 million of shares and paid $21 million in dividends, reducing net debt to $1.2 billion. - Capital spending for the quarter was $154 million, approximately 23% of the annual budget for 2025. - The realized price, including hedges, was $3.49 per mcfe. - The natural gas differential was a negative $0.50 per mcf to NYMEX. - Pre-hedge NGL realizations were $23.73 per barrel, a premium over Mont Belvieu equivalent. - Production averaged 2.20 Bcfe per day, with about 68% being natural gas. - The company improved its 2025 production guidance and increased expected lateral footage in year-end inventory while decreasing 2025 capital due to operational efficiencies. - CEO Dennis Degner highlighted quarter efficiency gains and robust well performance driving strong free cash flow. - GAAP revenues and other income totaled $856 million, with net income at $238 million, or $0.99 per diluted share. - The cash flow from operations before working capital changes was reported as $301 million. - Adjusted net income comparable to analysts’ estimates was $158 million, or $0.66 per diluted share. - Range's second quarter unit costs per mcfe were outlined, showing changes in various expenses compared to the previous year. - The average natural gas price was $2.94 per mcf, with a differential to NYMEX. - Crude oil and condensate price realizations averaged $52.77 per barrel, with a significant differential to WTI. - The company repurchased shares during the quarter, retaining approximately $900 million under the share repurchase program. - Net debt outstanding as of June 30, 2025, was approximately $1.22 billion. - Year-to-date capital investments were approximately $301 million, below plan due to operational efficiencies. - Range drilled approximately 285,000 lateral feet across 20 wells and turned to sales about 156,000 lateral feet across 12 wells. - Expected 2025 activity plans include a total of 46 wells to be completed and turned to sales by the end of the year. - The updated capital budget for 2025 ranges from $650 million to $680 million, with production expected to average approximately 2.225 Bcfe per day. - The company provided updated guidance on operating expenses and pricing differentials for its natural gas and liquids production. - Range hedges portions of its expected future production to maintain cash flow predictability.

COMPANIES

Range Resources Corporation, NYMEX, Mont Belvieu

TAGS

oil and gas

Sumitomo investment in CO2 transportation pipeline project to decarbonize UK cement and lime industry

DETAILS

- Sumitomo Corporation has agreed to fund the development of a CO2 transport pipeline to decarbonize the UK's cement and lime industry. - The project will transport 3 million tonnes of CO2 annually from the UK’s largest cement and lime production plants, which produce 40% of the country’s total output. - The Peak Cluster Carbon Capture project will capture CO2 from four plants around the Peak District. - The new pipeline will contribute to the decarbonization of the industry as part of the Carbon Capture and Storage value chain. - Sumitomo Corporation aims to promote Energy Transformation as part of its Medium-Term Management Plan through this investment. - Since 2022, Progressive Energy has collaborated with cement manufacturers Tarmac, Breedon, SigmaRoc, and Holcim on this project. - Summit Energy Evolution Limited, through a joint venture with Progressive Energy, will invest equity into Peak Cluster Limited, the project company for the pipeline development. - The UK government's National Wealth Fund is also investing in the project. - The total planned investment of £59.6 million will be used for the pipeline project development, aiming for a Final Investment Decision by 2028. - CCS technology is essential for decarbonizing the cement and lime sectors due to high process emissions. - The UK government targets capturing 50 million tons of CO2 annually by 2035, with the Peak Cluster project playing a critical role in that effort. - The buried onshore pipeline will transport captured CO2 to be permanently stored under the seabed of the East Irish Sea as part of the Morecambe Net Zero project. - The project will help decarbonize hard-to-abate industries and is expected to create and safeguard 13,000 jobs. - Sumitomo Corporation has extensive experience in CO2 capture, transport, and storage, building on knowledge from its oil and gas operations since the 1970s. - The company plans to expand its CO2 transport and storage capabilities in the UK and leverage its experience for business growth in the Americas and Asia-Pacific. - The CO2 transport pipeline project is under development by Peak Cluster Limited, with shareholders including several major cement companies and the National Wealth Fund.

COMPANIES

Sumitomo Corporation, Summit Energy Evolution Limited, Progressive Energy, Tarmac, Breedon, SigmaRoc, Holcim, National Wealth Fund, Peak Cluster Limited, Spirit Energy

TAGS

Industrial decarbonization

38 Degrees North Announces Over $230 Million of Corporate Growth Capital Raised, and Welcomes New Equity Investors Climate Adaptive Infrastructure and Kimmeridge

DETAILS

- 38 Degrees North has closed a growth equity investment from Climate Adaptive Infrastructure and Kimmeridge Energy Management Company, raising over $230 million in total growth capital. - The company has acquired U.S. Light Energy, a community solar developer with a pipeline of over 250 megawatts of projects. - 38 Degrees North aims to meet the rising demand for efficient energy sources as U.S. electricity demand is expected to increase significantly by 2030 and 2050. - Established in 2015, the company has developed, financed, and managed over 400 megawatts across more than 100 projects with institutional investors. - Community and distributed solar projects are noted as cost-effective and quick to deploy for grid stabilization. - The founders expressed the need for accelerated deployment of clean energy projects due to rising electricity prices driven by increased demand from data centers and transportation electrification. - The capital raised will support partnerships with development allies, landowners, and increase operational capacity in various markets. - S2G Investments highlighted the team's approach to renewable energy as a significant factor in attracting institutional capital partners. - CAI emphasized the importance of distributed generation in a surging power demand environment and expressed excitement to partner with 38 Degrees North. - Kimmeridge stated their belief in the potential of distributed-scale renewables as a vital part of future energy infrastructure. - Norton Rose Fulbright provided legal counsel for the capital raise and the acquisition, while other law firms represented the involved parties. - 38 Degrees North focuses on distributed generation and community solar as part of its sustainable infrastructure investments. - S2G Investments is a multi-stage investment firm supporting growth-stage businesses in various sectors. - Climate Adaptive Infrastructure specializes in low-carbon infrastructure investments to enhance sustainability and quality of life. - Kimmeridge is focused exclusively on the energy sector, leveraging technical knowledge and research to support its investment strategy.

COMPANIES

38 Degrees North, Climate Adaptive Infrastructure, Kimmeridge Energy Management Company, U.S. Light Energy, S2G Investments, Norton Rose Fulbright, Kirkland & Ellis LLP, Foley & Lardner LLP

TAGS

fundraising

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