Thursday, October 20, 2011

More on El Paso E&P Sale

To me, one of the more interesting Haynesville Shale stories this year is the potential sale of El Paso's exploration and production arm.  El Paso is not a big Haynesville player and there have been other big acquisitions this year (BHP's of Petrohawk), but because the deal is being shopped publicly by Kinder Morgan's bankers, we actually get to engage in rampant speculation long in advance of a deal announcement.

Here are a couple of good articles with some back story on El Paso and speculation about the potential acquirer.   It's funny to think that a business that has been a drag on the parent company would be a "juicy" acquisition for another.  I totally get it, but it reaffirms the old adage about one man's trash and one man's treasure.

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