Insight

Global upstream M&A: 2019 in review

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Global upstream M&A activity collapsed in 2019. Deal volumes plunged 36% year-on-year to their lowest level in almost two decades. Despite this, aggregate disclosed deal spend jumped 20% to US$129 billion. The apparent paradox is explained at least in part by Occidental’s monumental acquisition of Anadarko, which alone accounted for 40% of deal spend. But there were other highlights, as disposals by the Majors and retrenching US Large Caps opened opportunities for regional Independents and NOCS. This Insight contains a summary of high-level trends and major deals in the upstream M&A market during 2019. We also highlight things to watch for in 2020, referencing key potential transactions currently in our Deal Pipeline.
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Table of contents

  • Executive Summary
  • Global Trends
    • Valuations edged down
    • US corporate deal prices reflect weak equity market valuations
    • Regional differences continue to highlight local demand-supply dynamics
    • Majors
    • Total boosts growth with opportunistic buys
    • Eni scales up in Norway via Vår Energi
    • Equinor increases exposure to existing assets
    • Shell boosts resource base in Russia
    • Chevron continues to high-grade
    • BP nears US$10 billion disposal target
    • EuroMajors offload non-core US uncons
    • 21 more item(s)...
    • North America
    • Market sentiment dampens activity
    • Tight oil growth slowdown hits M&A market
    • Anadarko deal was all about tight oil
    • Corporate mergers struggling to impress investors
    • Gulf of Mexico: a buyers’ market
    • Canadian M&A plummets
    • Domestic issues provide challenging M&A backdrop
    • 10 more item(s)...

Tables and charts

This report includes the following images and tables:

    FY 2019 dealsGlobal deal count
    Global deal spendImplied Long-Term Oil Price (deal by deal) vs. Brent oil price2019 upstream M&A spend by primary deal location and buyer peer groupGlobal deal countGlobal deal spendMajors: disclosed A&D consideration, by companyMajors: total resource traded, by primary resourceCorporate Service cos: A&D spend by primary regionCorporate Service cos: Total resource traded, by primary resource theme
  • 18 more item(s)...

What's included

This report contains:

  • Document

    Global_Upstream_MandA_2019_in_review_data.xlsx

    XLSX 5.19 MB

  • Document

    Global upstream M&A: 2019 in review

    PDF 1.84 MB

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