Major deals in the oil and gas sector hit a 10-year high in 2012, with 204 big-ticket mergers and acquisitions completed last year. Local deals accounted for at least 4 percent of the national total value.
Last year's deals, which were worth a total of $146.2 billion nationally, included $5.23 billion worth in the Marcellus Shale formation and $1.27 billion in the Utica Shale formation, according to a study set for release today by the analysis arm of New York-based PricewaterhouseCoopers, or PwC.While the analysis by PwC suggests that Utica and Marcellus shale deals fell off pace in 2012, the raw data suggests otherwise. From the article:
Mr. Haffner said the smaller number in the Appalachian formations is not indicative of a lack of interest, since holdings in this region are often bundled with larger assets as part of a multi-faceted acquisition. The PwC analysis categorizes deals according to which formation is getting the largest investment, so a deal that includes Marcellus acreage or assets as an ancillary component wouldn't be considered a Marcellus deal.
Taking that into account "paints a different picture," said Mr. Haffner. "When I look at the raw data, I see Marcellus and Utica at higher levels," he said.Read the entire story here.
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