U.S. and Canadian oil and gas companies covered by S&P Global Market Intelligence raised roughly $7.91 billion of capital in November, fueled by debt offerings, which raked in $6.65 billion. The month's total is an increase from the $7.19 billion of capital reported in October.
Exploration and production is the only segment with a year-over-year boost in capital through November; companies have collected $36.39 billion year to date compared to $21.91 billion in the year-ago period. Oil and gas storage and transportation companies have raised $30.29 billion, down 35% year over year, while oil and gas refining and marketing companies have pulled in $14.39 billion — 28% less than in the prior-year period. Integrated oil and gas companies raised no new capital in November.
Common stock
*Southern Energy Corp. on Nov. 19 sold 114,944,000 common shares for approximately $4.6 million and 135,056,014 common shares for $3.1 million. The corporation intends to use the proceeds for general corporate purposes and working capital.
* Shale gas producer EQT Corp. on Nov. 18 sold 10,973,685 common stock for proceeds of $221.6 million.
* Obsidian Energy Ltd. on Nov. 18 completed its offering of subscription receipts for gross proceeds of $20.5 million, which the company plans to use to finance part of its acquisition of the remaining 45% nonoperated working interest in its Peace River oil partnership.
* Northern Oil and Gas Inc. on Nov. 17 sold 10,000,000 shares of common stock for proceeds of $200.0 million, which will be used for investments or acquisitions, redemption or repayment of debt securities and general corporate purposes.
* Kimbell Royalty Partners LP on Nov. 9 sold 3,750,000 common units for total gross proceeds of $52.5 million. The partnership will use the proceeds for the redemption or repayment of debt securities, working capital, acquisitions and investments, and general corporate purposes.
* Talos Energy Inc. on Nov. 8 sold 6,000,000 shares of common stock for approximately $72.8 million.
* Zenith Energy Ltd. on Nov. 2 sold 272,727,273 common shares for proceeds of about $4.1 million, which will be allocated for working capital and general corporate purposes.
Debt
* Canacol Energy Ltd. on Nov. 24 sold $500.0 million of 5.75% senior unsecured notes due 2028. The company plans to use the net proceeds to refinance its outstanding 7.250% senior notes due 2025 and other debt, and for general corporate purposes.
* UGI International LLC on Nov. 24 issued 2.50% senior unsecured notes due 2029 for $447.8 million. Proceeds will be used to redeem the company's €350,000,000 of senior unsecured notes due 2025 and for general corporate purposes.
* Valero Energy Corp. on Nov. 18 offered $946.9 million of 3.650% senior notes due 2051 and $498.8 million of 2.800% senior notes due 2031. The corporation said it will use the proceeds, along with $750.0 million of cash on hand, to fund cash tender offers to repurchase its 2.700% senior notes due 2023, 1.200% senior notes due 2024, 3.650% senior notes due 2025, 2.850% senior notes due 2025, 10.500% senior notes due 2039, 8.750% senior notes due 2030, 7.500% senior notes due 2032 and 6.625% senior notes due 2037, plus 4.375% senior notes due 2026 issued by a subsidiary.
* Phillips 66 on Nov. 10 issued $992.6 million of 3.3% senior notes due March 2052. Interest on the notes is payable every March 15 and Sept. 15, starting on March 15, 2022. The U.S.-based refiner will use the proceeds to redeem or repay debt securities and for working capital.
* Continental Resources Inc. on Nov. 9 offered $800.0 million of 2.268% senior unsecured notes due November 2026 and roughly $799.4 million of 2.875% senior unsecured notes due April 2032. Continental Resources plans to use the proceeds for general corporate purposes, acquisitions or investments, and redemption or repayment of debt securities.
* Northern Oil and Gas on Nov. 9 also offered 8.125% senior unsecured notes due March 2028 for $213.5 million. The producer will use the proceeds to redeem or repay debt securities.
*Parkland Corp. on Nov. 8 sold 4.625% senior notes due May 2030 for proceeds of $800.0 million, which the corporation will use for working capital, acquisitions or investments, redemption or repayment of debt securities and general corporate purposes.
* Colgate Energy Partners III LLC on Nov. 8 issued 5.875% senior notes due July 2029 for $203.5 million. The company intends to use the proceeds to redeem or repay debt securities, and for general corporate purposes and acquisitions or investments.
* Tellurian Inc. on Nov. 5 offered $50.0 million of 8.25% senior unsubordinated unsecured notes due November 2028. Interest on the notes is payable quarterly starting on Jan. 31, 2022. Proceeds will be used for investment in securities, acquisitions, working capital and general corporate purposes.
* DCP Midstream LP on Nov. 4 sold 3.25% senior notes due February 2032 for proceeds of $400.0 million, which the partnership plans to use for general corporate purposes, investment in securities and redemption or repayment of debt securities. Interest on the notes is payable every Feb. 15 and Aug. 15, starting Aug. 15, 2022.
Private placements
* North American Helium Inc. on Nov. 23 closed a nonbrokered private placement of common shares for gross proceeds of $99.9 million, which the company will use in part to fund its exploration and development plan for the 2021-2022 drilling season and to bring additional helium production online in 2022. Existing institutional shareholders participated in the deal.
* Montana Renewables LLC on Nov. 18 secured $401.0 million, comprising $300 million of senior secured convertible term loans and $101 million of preferred equity investment. Calumet Specialty Products Partners LP and funds managed by new investor Oaktree Capital Management LP participated in the transaction.
* Helium Evolution Inc. on Nov. 15 completed a non-brokered private placement of 40,998,636 subscription receipts for gross proceeds of $9.8 million, which the company plans to use for its exploration program.
* Wilton Resources Inc. on Nov. 11 closed a nonbrokered private placement of 700,000 units for gross proceeds of $200,000, which the company intends to use to pursue the acquisition of an international oil and gas property and for general corporate purposes.
* Bonterra Energy Corp. on Nov. 10 completed a brokered private placement of an aggregate of 37,000 units for gross proceeds of approximately $31.8 million. The corporation will use the proceeds as payment for existing bank debt and for general corporate purposes.
* Booster Fuels Inc. on Nov. 10 received $10.0 million in funding from new investor Renewable Energy Group Inc. Booster Fuels said it plans to use the proceeds to provide mobile delivery of sustainable fuels.
* Regiment LLC on Nov. 9 secured $815,175 in funding in a transaction that included 21 investors. The company will use a portion of the proceeds to pay its directors, executives or promoters.
* FirstElement Fuel Inc. on Nov. 8 received a total of $105.0 million in its series D round of funding. FirstElement Fuel plans to allocate the proceeds to grow its California hydrogen network from 31 stations to 80 stations by 2024.
* Marksmen Energy Inc. on Nov. 5 closed a nonbrokered private placement for proceeds of $1.0 million, which will be used for drilling wells and working capital, among others.
* Stamper Oil & Gas Corp. on Nov. 4 completed a nonbrokered private placement of 3,500,000 flow-through common shares for gross proceeds of $84,000, which the corporation intends to use for exploration expenditures.
* Permex Petroleum Corp. on Nov. 3 closed a nonbrokered private placement of 2,647,037 units for gross proceeds of $576,000. The corporation plans to use the proceeds for an uplisting on a U.S. exchange, regulatory filings, marketing and general working capital.
* San Joaquin Renewables LLC on Nov. 1 received $12.7 million in funding in a deal that included participation from four investors.
*American Noble Gas Inc. on Nov. 1 completed a securities purchase agreement with three accredited investors for 8% senior unsecured convertible promissory notes due October 2022 for gross proceeds of $850,000.
