Expected Q2-2011 results- North America to lead the game and now stands at 44% of the total deal value. ~$4.4 billion worth of assets in North America expected to be sold by the end of Q2-2011.

Global upstream M&A activity in Q2-2011 has currently reached $18.4 billion in 81 transactions against the total Q1-2011 numbers of $52.4 billion in 174 transactions.

Highlights of Q2-2011

• North America leads with $8.14 billion or 44% of the total global deal value
• Europe is in second position totaling $3.17 billion
• Followed by Asia ($2.15 billion) and Africa ($1.73 billion)
• In North America. conventional deals are in majority unlike the Q1-2011 where unconventional deals were dominating
• Oil weighted transactions accounted for 44% of the total global deal value.

Top ten transactions

Source: Derrick Petroleum E&P Transactions Database

Asset Vs Corporate transactions

The asset and corporate transactions are on par in Q2-2011. Of the total corporate transactions, 50% is complete takeovers and the other 50% is minority equity stakes.

Deals in play to be completed by Q2-2011

Atleast $4.4 billion worth of assets in North America are put up for sale and are expected to be sold by the end of June 30, 2011, according to Derrick Petroleum’s “Deals in Play” database.

Note: The results are extracted from Derrick Petroleum Services.

Santos Plans to spend over US$ 100 million for Sangu field in Bangladesh

Santos International is one of Australia’s leading gas producers, supplying Australian and Asian customers. The company is the largest producer of natural gas for the domestic Australian market, and has significant gas and oil operations across Australia and in Indonesia, Papua New Guinea, Vietnam, Bangladesh, India and the Kyrgyz Republic. The company has a strong base in Australia and Indonesia and pursuing focused growth in Asia, of which our activities in Bangladesh are a key part.


Santos in Bangladesh:

Santos acquired 3D seismic in 2010 over the Sangu and Magnama structures. This seismic has revealed some prospects of interest. Santos is planning to spend over $100 million on a three-well program in Block 16 beginning in the fourth quarter of 2011.  All wells are targeting new pools of gas not intersected by the existing Sangu field development. One of the wells, Sangu-11, will be drilled from the Sangu platform and, if successful, will be able to provide some immediate relief to the Chittagong gas situation. The other two wells are targeting prospects approximately five kilometers from the Sangu platform. A further exploration well may also be drilled on the Magnama prospect should time permit in the upcoming drilling season.

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In November 2010, Santos acquired all of the interests of Cairn in Sangu gas field and Block 16 exploration acreage. As a result of this transaction, Santos holds 75% interest (operator) in Block 16 (Sangu) and will have a 100% interest in Block 16 (Exploration). The deal is depicted below:

Source: Derrick Petroleum E&P Transactions Database

Santos exploration portfolio for 2011:

Source: Derrick Petroleum Planned Exploration Wells Database

Tullow acquires $730 million worth assets back to back in Ghana and Netherlands

Tullow Oil plc agreed to acquire the interests of EO Group Limited, consisting of its entire interests offshore Ghana, for a consideration of $305 million. This acquisition will increase Tullow's interest in the West Cape Three Points licence offshore Ghana by 3.5% to 26.4% and increase the Group's interest in the world-class Jubilee Oil field, which Tullow Operates, by 1.75% to 36.5%. The receipt of Tullow shares as part of the consideration gives EO the opportunity to retain an indirect interest in the upside potential of all of Tullow's Ghanaian assets.

Just a day back, Tullow Oil agreed to acquire Nuon Exploration and Production (Nuon E&P) for a cash consideration of €300 million ($425 million) from the Vattenfall Group. The acquisition of Nuon E&P will significantly enhance Tullow's North Sea business adding a portfolio of 25 licences that include over 30 producing fields, numerous development and exploration opportunities and ownership of key infrastructure.  This portfolio will increase the Group's North Sea gas production by 9,000 boepd to approximately 23,000 boepd and add reserves and resources of 28 mmboe. 

Overview of 2010 results of Tullow Oil

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Shell and Maersk Oil offer farm in opportunity on the Danish Continental Shelf.

Shell and Maersk Oil are jointly offering up to 60% interest in the Elly and Luke development project located near the existing Tyra gathering, treating and transportation infrastructure. The Partners are in the advanced stages of planning for the combined development of the Elly and Luke discoveries that will deliver hydrocarbons into the Danish and Dutch gas transmission systems. The Luke and Elly fields are expected to yield mean recoverable gas resources of 180 BCF, with upside estimated up to 430 BCF. In addition, exploration prospects in the licenses have potential gas resources estimated up to 422 BCF. 

The online data room will be open until the bid deadline of Tuesday the 7th of June 2011.

VALUE OF THE PACKAGE:


60% in the fields is expected to be offered and is valued between $54-$90 million based on $3-$5/ BOE of resource potential.

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Cenovus 2011 UBS Global Oil and Gas Conference

- $1.8 B committed capital
- $0.1 B one-time costs
- Ability to utilize balance sheet to fund additional opportunities
- $700 MM of additional opportunity capital includes:
    - 440 strat wells drilled in Q1
    - scalable conventional oil & natural gas programs
- expand drilling program at Pelican Lake
- future oil sands expansions
- $600 MM of 2011F capital contributes to 2011F production
- $300 – 500 MM of potential divestiture proceeds not included in budget

http://docsearch.derrickpetroleum.com/files/12837/Cenovus%202011%20UBS%20Global%20Oil%20and%20Gas%20Conference.pdf

BASF 2011 Deutsche Bank German & Austrian Corporate Conference

- Increasing Brent oil price forecast from $90/bbl to $100/bbl
-ƒ Assuming oil production in Libya will not restart during 2011
- EBIT before special items from our Libyan oil production for the full year 2011 will be about €1 billion lower compared with 2010 (thereof about €700 million of non-compensable oil taxes)

http://docsearch.derrickpetroleum.com/files/12839/BASF%202011%20Deutsche%20Bank%20German%20&%20Austrian%20Corporate%20Conference.pdf

Premier Oil 2011 AGM Presentation

- Grow near-term production to 75 kboepd from existing 2P reserves of 261 mmboe
- Deliver further growth by commercialising contingent resource base of 228 mmboe
- Add 200 mmboe through exploration by focusing on core geologies
- Make value-adding acquisitions in three core areas
- Maintain a conservative financing plan

http://docsearch.derrickpetroleum.com/files/12836/Premier%20Oil%202011%20AGM%20Presentation.pdf