Deal Insight
Southwestern acquires Appalachian player Montage Resources for US$991 million
This report is currently unavailable
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
Southwestern Energy announced it will be acquiring Montage Resources in an all-equity deal, for an enterprise value of US$991 million, including US$213 million equity and the assumption of US$778 million net debt. Upon close of the deal, Southwestern will become the third largest Appalachia producer. Many in the industry are questioning the value add for Southwestern, but after examining all relevant variables, it makes sense for one clear reason. Southwestern has recently undergone a strategic shift to allotting more capex dollars towards their dry gas assets, and adding Montage to their asset-base extends their dry gas inventory.
Table of contents
- Executive summary
- Transaction details
- Upstream assets
- Deal analysis
- Upsides and risks
- Strategic rationale
- Oil & gas pricing and assumptions
Tables and charts
This report includes the following images and tables:
- Executive summary: Table 1
- Southwestern and Montage Appalachian wells
- Montage forecasted asset-level cash flow
- Upstream assets: Table 1
- Montage valuation breakdown (NPV10)
- Deal analysis: Table 1
- Deal analysis: Table 2
- Deal analysis: Table 3
- Montage FT forecast
- Southwestern and Montage maturities
- Oil & gas pricing and assumptions: Table 1
- Oil & gas pricing and assumptions: Table 2
What's included
This report contains:
Other reports you may be interested in
Asset Report
Montney key play
Detailed analysis of Montney production, well design, economics, operator strategy and subsurface.
$22,800
Asset Report
Jupiter Resources Alberta
Jupiter Resources is a privately-held company backed by Apollo Global Management. The company became a meaningful Canadian player in ...
$3,720
Asset Report
Turnagain nickel project
A detailed analysis of the Turnagain nickel project.
$2,250
