Oil & Gas Acquisitions in 2019

Solveig Gas Norway AS (Solveig) agreed to acquire the entire share capital of Capricorn Norge AS from Capricorn Energy Limited (part of Cairn Energy PLC) for USD 100 million, with an effective date of 1 January 2020. The deal gives Solveig a 10% stake in the Nova field (approx. 6,000 boe/d expected when production starts in 2021), operator capability for Norwegian exploration licenses, and expands its integrated E&P and gas infrastructure strategy.

Strike Group Inc., a TriWest Capital Partners Fund V portfolio company, has acquired Jedco Energy Services Corp. from its existing shareholders. The add-on expands Strike Group's pipeline integrity and testing capabilities in Western Canada by combining Jedco's local relationships and expertise with Strike Group's broader service platform.

WolfePak Software, a Charlesbank Capital Partners portfolio company, has acquired DocVue, a provider of imaging, document management and workflow software for the oil and gas industry. DocVue will operate as a standalone product division within WolfePak to expand WolfePak's document management and digital oilfield offerings; financial terms were not disclosed.

NGL Energy Partners LP has agreed to acquire all equity interests of Hillstone Environmental Partners LLC from Golden Gate Capital for approximately $600 million. The acquisition adds Hillstone's produced water pipelines and disposal well network in the Northern Delaware Basin to NGL's existing Delaware Basin water platform, increasing disposal and transportation capacity and providing long-term contracted volumes.

DTE Midstream (a unit of DTE Energy) agreed to acquire a gathering system and a 150-mile, 36" gathering pipeline in the Haynesville shale from Momentum Midstream and Indigo Natural Resources for $2.25 billion in cash plus a $400 million milestone payment. The assets include an existing 1.2 Bcf/d gathering system (expandable to 2 Bcf/d) and a pipeline under construction; both assets are supported by long-term contracts and provide DTE enhanced access to Gulf Coast and Louisiana gas markets. The transaction was approved by DTE's board, expected to close in Q4 2019, and was reported as officially closed on December 4, 2019.

BlueWater Equity Partners, LLC acquired a controlling interest in The E3 Company, LLC, a designer and manufacturer of automated pressure-relief and safety systems for hydraulic fracturing sites. Assurance Mezzanine Fund (Assurance Capital) provided mezzanine financing to support the transaction.

Keystone Capital has completed the acquisition of Lane Power & Energy Solutions, Inc. (LPES), a Houston-based provider of underground hydrocarbon storage and turnkey EPC services for petrochemical, midstream and government customers. Keystone said it will partner with LPES management to expand capabilities, broaden service offerings and grow organically and via targeted acquisitions; transaction terms were not disclosed.

NOV (National Oilwell Varco) has completed its acquisition of Denali Incorporated, a longtime manufacturer of fiberglass‑reinforced plastic (FRP) products and brands including Containment Solutions, Belco, Ershigs, Fabricated Plastics, Fibra, and Plasti‑Fab. The business will be integrated into NOV’s Fiber Glass Systems unit to provide customers with an integrated offering of fiberglass pipes, risers and tanks for petroleum, chemical, power generation and water markets.

EQT Infrastructure portfolio company Kodiak Gas Services has signed a definitive agreement to acquire Pegasus Optimization Managers from affiliates of Apollo Natural Resource Partners II. The deal combines two fast-growing contract compression businesses — creating a leading U.S. contract compression platform with more than 2,500,000 revenue-generating horsepower; the transaction is expected to close in Q4 2019 and financial terms were not disclosed.

Presidio Petroleum, a portfolio company majority owned by Morgan Stanley Energy Partners, completed the acquisition of oil and natural gas producing properties in the western Anadarko Basin from Apache Corporation. The transaction is an add-on that expands Presidio's operating footprint across Texas, Oklahoma and Kansas and brings Apache's field operations team into Presidio.

HOP Energy, a PE-backed specialty fuel distributor, has acquired Kosco Heritage Energy, a more than 50-year-old heating oil distributor based in Kingston, New York that serves about 21,000 residential, commercial and HVAC customers across the Hudson Valley. HOP — itself a portfolio company of Delos Capital and Shorevest Capital — says the deal expands its product and service capabilities and will serve as a platform for future local consolidation and growth.

Quorum Software, a Thoma Bravo portfolio company, has acquired Dallas-based Archeio Technologies, a provider of document classification and smart search technology for the oil and gas industry. The add-on expands Quorum's cloud-based document management and enterprise search capabilities to accelerate digitization and improve operational efficiency across upstream workflows; financial terms were not disclosed.

Innovex Downhole Solutions (backed by Intervale Capital) acquired Quick Connectors, Inc. and its exclusive Permian distributor Enerserv, Inc., expanding Innovex's product offering into artificial lift technologies for ESP and gas lift markets. The deal adds approximately 120 employees, strengthens Innovex's well production segment, and brings QCI leadership into Innovex's senior team to accelerate capability expansion in artificial lift and production monitoring solutions.

Prosafe SE will acquire Floatel International Ltd through an all-share merger of equals that issues new Prosafe shares as consideration, leaving Prosafe and Floatel shareholders with approximately 55% and 45% of the combined company on a fully diluted basis. The combined group — to continue as Prosafe SE listed on the Oslo Stock Exchange — will create the world’s largest offshore accommodation company with an enlarged semi-submersible fleet, broader geographic presence and anticipated operational efficiencies.

Partners Group has agreed to acquire CapeOmega, a Norwegian midstream oil & gas and infrastructure holding company, from HitecVision in a transaction valuing CapeOmega at about EUR 1.2 billion. CapeOmega — formed in 2015 — holds significant stakes in Norwegian gas infrastructure including Gassled, Nyhamna and Polarled as well as interests in late-life oil fields Brynhild, Enoch and Oselvar.

Pilot Thomas Logistics (PTL) has acquired the assets of Cactus Fuel, LLC, a Midland, Texas-based distributor of fuel and lubricants serving upstream and midstream customers in the Permian Basin. The seller was Hastings Equity Partners, which had purchased a majority interest in Cactus in 2016 and drove significant revenue growth prior to the sale.

Gravity Oilfield Services, a Clearlake Capital-backed water midstream platform, acquired certain water disposal infrastructure assets from MBI Oil & Gas, LLC to expand its Bakken footprint and strengthen relationships with regional operators. Financial terms were not disclosed.

National Oilwell Varco (NOV) has acquired Permian Fabrication and Services, Inc., an Odessa, Texas-based provider of oilfield equipment fabrication and services. The sale, announced by IAG, was completed as a strategic acquisition to bolster NOV's oilfield equipment manufacturing and service capabilities in the Permian Basin.

Ring Energy, Inc. entered a definitive agreement to acquire Wishbone Energy Partners' North Central Basin Platform assets in southwest Yoakum County, Texas and east Lea County, New Mexico for $300 million ( $270M cash and $30M common stock). The asset purchase, expected to close in early Q2 2019 with an effective date of November 1, 2018, roughly doubles Ring's production and proved reserves and materially increases its San Andres horizontal drilling inventory.

SPL, a portfolio company of Industrial Growth Partners (IGP), has merged with Atchafalaya Measurement, Inc. (AMI) to combine field measurement, meter equipment installation, instrumentation/automation and hydrocarbon laboratory analysis. The combination expands SPL's geographic footprint across major U.S. oil and gas plays, enables service-line cross-selling, and integrates AMI's recurring measurement capabilities into SPL's data analytics platform; AMI President Nick Trahan will continue in his role.