28th Feb 2025 19:36
Diversified Energy Company PLC - Alabama, US-based oil and gas production company - Completes USD42 million acquisition of operated natural gas properties and related midstream pipeline infrastructure located within Virginia, West Virginia, and Alabama from Summit Natural Resources. Says the bolt-on acquisition increases coal mine methane environmental credit cash flow, expands midstream infrastructure, and enhances southern Appalachia prices. Says the Appalachian assets overlap existing operations providing synergies for increased cash margins while strategic midstream pipeline assets facilitate capability to enhance commodity realizations. In addition, company strikes USD530 million asset backed securitization. Says the ABS is significantly oversubscribed - 6.5 times - with orders from 20 unique investors. "The ABS transaction will also benefit from an improved hedging profile, creating enhanced margins and cash flows. Additional proceeds from this refinancing will be used to reduce outstanding borrowings and for general corporate purposes," company adds. Read More
