WILLIAMS BUYING ACCESS MIDSTREAM A CHESAPEKE SUBSIDIARY

http://m.newsok.com/williams-poised-to-acquire-access-midstream-in-...

What does this mean to us in the Marcellus/Utica?

Back in April 2013 Williams and Shell announced an agreement to launch a new midstream joint venture called Three Rivers Midstream to handle Shell's 275,000 acres in Northwestern PA. as well as liquids production from NE Ohio from other producers.

Interesting development for our region IMHO.
Perhaps Shell has more of a presence behind the scene than thought as the cracker project draws nearer. Perhaps they will buy CHK after all.......

Views: 1034

▶ Reply to This

Replies to This Discussion

Permalink Reply by Trapper on July 3, 2014 at 9:54am

Here's the link to the Williams/Shell Announcement of April,2013:
http://www.pennenergy.com/articles/pennenergy/2013/04/williams-part...

Are the dots finally coming together to form a clearer picture of Shell's influence behind the scenes and the more and more certainty of the Cracker coming to fruition?

Permalink Reply by craig on July 3, 2014 at 10:47am

When you have folks from NY city and other large metropolitan areas come to  you area, as we have in Beaver County, flashing a big wad looking for certain properties you can be pretty much assured the cracker plant is a go.

Permalink Reply by searcherone on July 3, 2014 at 1:31pm

Here is link regarding a case in PA with Chesapeake and Access being sued under the RICO act regarding how they did not pay royalties to landowners.   So if Williams buys Access does that make them responsible for Access's actions?     Just thinkin'   about all this maneuvering and how it relates to the PA royalty owners.

http://www.courthousenews.com/2014/06/25/69022.htm

Permalink Reply by James Foster on July 14, 2014 at 2:01am

Access Midstream IS NOT a subsidiary of Chesapeake! Cheasapeake Midstream was sold off in 2012, renamed Access Midstream. The article you posted says "former subsidiary". You can not change the facts and just write whatever you like .... only the lamestream media is allowed to do that.

Mike MurphyPermalink Reply by Mike Murphy on July 14, 2014 at 4:44am

Access Midstream was once a subsidiary of Chesapeake Energy Corp. It was formed as Chesapeake Midstream Partners in 2009 with help from private equity firm Global Infrastructure Partners. The equity firm acquired Chesapeake’s stake in the partnership for $2 billion in July 2012, spurring the name change to Access Midstream. Williams bought into Access Midstream in December 2012 when it helped bankroll the partnership’s $2.16 billion purchase of most of Chesapeake’s remaining midstream assets. Now it is buying out Global Infrastructure Partners II’s stake.

Permalink Reply by James Foster on July 14, 2014 at 6:42am

This spinoff maneuver by Chesapeake was done so that Access Midstream could overcharge Chesapeake and they did and probably still are over charging them to recoup money they had given/paid (not sure of exact details on this part of transaction) to Chesapeake.  A subsidiary can not over charge a parent company ... sister company according to most lease language.  But you spin it off and you are home free!!!  Royalty owners who do not have royalties paid on gross sales but have royalties paid on net sales are having this overpayment by Access to Chesapeake deducted from their royalties.  Must have Chesapeake paid back now or Williams knows about this and is going to participate as well.

RSS

© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service