In response to this week’s announcement that JERA, a leading Japanese energy company and one of the world’s largest LNG buyers, was expanding its upstream footprint through the $1.5 billion acquisition of the South Mansfield joint venture from GEP Haynesville and Williams, Andrew Dittmar, principal analyst at Enverus Intelligence® Research provided this commentary explaining the deal’s significance:
“A land rush into the Haynesville by Asia companies with LNG commitments continues with JERA acquiring the South Mansfield joint venture from GEP Haynesville and Williams for $1.5 billion. Asia-based buyers have become the dominant force for acquisitions in the play, willing to outbid domestic producers to secure natural gas feedstock linked to the Gulf Coast’s growing LNG hub. For these buyer groups, a premium for assets is justified to hedge against a longer-term increase in Henry Hub as Haynesville inventory is depleted and ensure a cost-effective source of supply. The move by JERA follows Tokyo Gas acquiring Rockcliff Energy and buying into a joint venture with Chevron. After the latest transaction, private opportunities in the Haynesville are becoming sparse. Aethon remains the juggernaut among private operators far outstripping other groups with more than 800 remaining gross operated locations. There is new private equity capital flowing in to rebuild positions though, most notably Rockcliff Energy acquiring Pine Wave in one of the few Haynesville deals that has not featured an international buyer.”
You must be an Enverus Intelligence® Research subscriber to access this report
About Enverus Intelligence® Research
Enverus Intelligence ® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations and macro-economic forecasts; and helps make intelligent connections for energy industry participants, service companies and capital providers worldwide. Enverus is the most trusted, energy-dedicated SaaS company, with a platform built to create value from generative AI, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 95% of U.S. energy producers, and more than 40,000 suppliers. Learn more at Enverus.com.