Whole-company and minority-stake deals in the oil and gas industry declined year over year to 30 from 39 in May.
The combined value of deals plummeted to $5.74 billion from $15.18 billion, despite having the second-largest deal in the year so far, according to S&P Global Market Intelligence data.
Thirty-five asset transactions were announced in the sector in May, compared to 47 in the year-ago period. Their aggregate value dropped to about $2.93 billion from $8.62 billion.
Large whole-company and minority-stake deals
Centennial Resource Development Inc.'s merger with Colgate Energy Partners III LLC for about $3.90 billion was the biggest whole-company and minority-stake deal announced in May and the second-biggest deal of the year so far. Centennial shareholders will own about 53% of the combined company once the deal closes, and Colgate shareholders will own the remaining 47%.
The second-largest whole-company and minority-stake deal in May amounted to well under $1 billion. Williston Basin midstream operator Crestwood Equity Partners LP snapped up Sendero Midstream Partners LP for $600 million. Crestwood paid for part of the acquisition using cash from the sale of its North Texas assets to EnLink Midstream LLC for $275 million, which was announced on the same day.
* Use our Transactions Statistics page to run a custom screen of M&A transactions.
* Use our M&A Replay page to view more data on other M&A deals.
Notable asset deals
The largest asset deal for the month and the fourth-largest asset deal in the year so far was the transaction between Norwegian companies Sval Energi AS and Equinor ASA totaling $1 billion. Under the deal, Sval Energi will own an 18.5% stake in Norpipe Oil AS and minority stakes in the Martin Linge unit and the Greater Ekofisk area. The companies expect to complete the deal in the second half.
The second-largest asset deal announced in May and the seventh-largest asset sale so far in 2022 totaled less than $1 billion. BKV Corp. bought Barnett Shale natural gas and midstream assets in Texas from oil and gas major Exxon Mobil Corp. for $800 million. BKV will pay $750 million in cash with contingent payments up to $50 million for the gas assets. Exxon removed the Barnett Shale gas assets operated by subsidiaries XTO Energy Inc. and Barnett Gathering LLC from its development plan in 2020.
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