{"id":56268,"date":"2021-01-01T10:47:10","date_gmt":"2021-01-01T15:47:10","guid":{"rendered":"https:\/\/olduvai.ca\/?p=56268"},"modified":"2021-01-01T10:55:17","modified_gmt":"2021-01-01T15:55:17","slug":"merger-mania-is-transforming-canadas-oil-scene","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=56268","title":{"rendered":"Merger Mania Is Transforming Canada\u2019s Oil Scene"},"content":{"rendered":"

Merger Mania Is Transforming Canada\u2019s Oil Scene<\/a><\/h3>\n
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Canada\u2019s oil landscape looks encouraging for 2021 as Whitecap Resources Inc. acquires two oil and gas companies in addition to mergers between other energy companies, with anticipated growth through the coming year as demand for energy steadily increases.\u00a0In November, Whitecap Resources announced a plan to acquire rival company TORC Oil & Gas through an all-stock transaction of\u00a0$704.12m<\/a>\u00a0equivalent. The deal is expected to go through by 25 February 2021, providing an encouraging outlook for the first quarter of next year.<\/p>\n

This merger would mean an estimated 100,000 bpd equivalent in production making it one of Canada\u2019s major players. The expected value of the combined company is around $3.13 billion.<\/p>\n

Since demand for energy has steadily increased since the slump in early 2020, so has Whitecap\u2019s share price, going from C$2.29 ($1.80) in early July to C$4.96 ($3.89) in December, with a market cap of\u00a0C$2.025 billion<\/a>\u00a0($1.58bn) on the Toronto stock exchange.<\/p>\n

Whitecap CEO Grant Fagerheim stated of the acquisition, \u201cWe are combining two strong Canadian energy producers to form a leading large-cap, light oil company geared towards generating sustainable long-term returns for shareholders while prioritising responsible Canadian energy development\u2019\u201d.<\/p>\n

The TORC acquisition comes just months after Whitecap announced its plan to buy NAL Resources for\u00a0nearly $119 million<\/a>\u00a0in August. Manulife, an insurance and financial company, will have a 12.5 percent stake in the combined company as Whitecap issues it with 58.3 million shares. The move to acquire both companies drives forward Whitecap\u2019s aim to increase its Alberta and Saskatchewan assets and operations.<\/p>\n

Smaller energy companies across Canada have been showing interest in mergers throughout 2020 as a means to bolster their portfolios, in response to the volatile oil market this year.<\/p>\n

\u2026click on the above link to read the rest of the article\u2026<\/p>\n

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Merger Mania Is Transforming Canada\u2019s Oil Scene Canada\u2019s oil landscape looks encouraging for 2021 as Whitecap Resources Inc. acquires two oil and gas companies in addition to mergers between other energy companies, with anticipated growth through the coming year as demand for energy steadily increases.\u00a0In November, Whitecap Resources announced a plan to acquire rival company […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2,3],"tags":[103,19987,5332],"class_list":["post-56268","post","type-post","status-publish","format-standard","hentry","category-economics","category-energy-2","tag-canada","tag-felicity-bradstock","tag-oilprice-com"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/56268","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=56268"}],"version-history":[{"count":0,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/56268\/revisions"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=56268"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=56268"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=56268"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}