Your Federal Quarterly Tax Payments are due April 15th Get Help Now >>

Mergers & Acquisitions Deal Analysis - BP to Acquire Oil Assets from Devon Energy by GlobalData

VIEWS: 102 PAGES: 7

Mergers & Acquisitions Deal Analysis - BP to Acquire Oil Assets from Devon Energy Summary BP Plc (BP) agreed to acquire oil assets, located in Brazil, Azerbaijan and the Gulf of Mexico, from Devon Energy Corporation (Devon Energy) for a purchase consideration of approximately $7 billion in cash. The transaction includes acquisition of interests in ten exploration blocks in Brazil (of which seven are in the prolific Campos basin); a major portfolio of deepwater exploration acreage and prospects in the US Gulf of Mexico; and an additional interest in the BP operated Azeri-Chirag-Gunashli (ACG) development in the Caspian Sea, Azerbaijan. This acquisition will give BP a diverse and broad deepwater exploration acreage position in offshore Brazil with interests in eight license blocks in the Campos and Camamu-Almada basins, in water depths ranging from 330 to 9,100 feet (100-2,780 meters), as well as two onshore licenses in the Parnaiba basin. The Campos basin blocks include three discoveries – Xerelete, pre-salt Wahoo and Itaipu – and the producing Polvo field. In the Gulf of Mexico, BP will gain a high quality portfolio with interests in some 240 leases, with a particular focus on the emerging Paleogene play in the ultra-deepwater. The addition of Devon’s 30% interest in the major Paleogene discovery, the Kaskida project, will give BP a complete ownership of the project. The assets also include interests in four producing oil fields: Zia, Magnolia, Merganser, and Nansen. In Azerbaijan, the acquisition of Devon’s 5.63% stake in the ACG development will increase BP’s operating interest in the fields to 39.8%. Scope - Rationale behind BP Plc' acquisition of assets in in Brazil, Azerbaijan and the Gulf of Mexico - Strategic Benefits for Devon Energy to sell its assets - Geography covered - Brazil - Deal Financials and Valuations - Information on Brazil, Azerbaijan and the Gulf of Mexico's assets, BP Plc and Devon Energy Reasons to buy - Develop a s

More Info
									              Mergers & Acquisitions Deal Analysis - BP to Acquire Oil
                           Assets from Devon Energy
       Reference Code: GDGE0112M&A                                                                                                   Publication Date: MAY 2010

                                                                                                       2         BP to Acquire Oil Assets from Devon
                                                                                                                 Energy
       1         Table of Contents                                                                     2.1       Deal Overview
       1  Table of Contents ...............................................................1
        1.1    List of Tables ...............................................................1             Table 1: Deal Overview
        1.2    List of Figures..............................................................1              Deal Type                                    Asset Transactions
       2 BP to Acquire Oil Assets from Devon Energy.....................1
        2.1    Deal Overview .............................................................1                Deal Status                                         Announced
        2.2    Deal in Brief.................................................................1             Announced Date                                    Mar 11, 2010
        2.3    BP is Acquiring E&P Assets from Devon Energy to
                                                                                                           Source: GlobalData
        Expand its Operations Primarily in the Offshore Brazilian
        Deepwaters............................................................................2
        2.4    Devon Consolidates its Onshore Presence by
        Acquiring Kirby Oil Sands as a Part of this Agreement ..........2
        2.5    Devon Energy Selling its Offshore Assets to Raise                                       2.2       Deal in Brief
        Funds for Development of its Onshore North American                                            BP Plc (BP) agreed to acquire oil assets, located in Brazil,
        Assets ....................................................................................3
                                                                                                       Azerbaijan and the Gulf of Mexico, from Devon Energy
        2.6    Companies Involved....................................................4
        2.7    Deal Financials............................................................4            Corporation (Devon Energy) for a purchase consideration of
        2.8    Deal Rationale.............................................................4            approximately $7 billion in cash. The transaction includes
        2.9    Advisor Information .....................................................4              acquisition of interests in ten exploration blocks in Brazil (of
        2.10       Detailed Target Information ....................................4                   which seven are in the prolific Campos basin); a major portfolio
        2.11       Detailed Acquirer Information .................................5                    of deepwater exploration acreage and prospects in the US Gulf
        2.12       Detailed Vendor Information ...................................5                    of Mexico; and an additional interest in the BP operated Azeri-
       3 Appendix ............................................................................5
                                                                                                       Chirag-Gunashli (ACG) development in the Caspian Sea,
        3.1    About Energy eTrack...................................................5
        3.2    Methodology................................................................5            Azerbaijan.
        3.3    Contact Us ..................................................................6          This acquisition will give BP a diverse and broad deepwater
        3.4    Disclaimer ...................................................................6
                                                                                                       exploration acreage position in offshore Brazil with interests in
                                                                                                       eight license blocks in the Campos and Camamu-Almada
                                                                                                       basins, in water depths ranging from 330 to 9,100 feet (100-
       1.1       List of Tables                                                                        2,780 meters), as well as two onshore licenses in the Parnaiba
       Table 1: Deal Overview .............................................................1           basin. The Campos basin blocks include three discoveries –
       Table 2: Devon Energy, Remaining Offshore Assets, Details,                                      Xerelete, pre-salt Wahoo and Itaipu – and the producing Polvo
                2010 ............................................................................4     field. In the Gulf of Mexico, BP will gain a high quality portfolio
       Table 3: Key Companies Involved in the Deal, 2010 .................4                            with interests in some 240 leases, with a particular focus on the
       Table 4: Financials of the Deal, 2010 ........................................4
                                                                                                       emerging Paleogene play in the ultra-deepwater. The addition
       Table 5: Advisor Information......................................................4
       Table 6: Target Information ...........................
								
To top