HOUSTON (AP) — Targa Resources is buying Atlas Pipeline Partners and Atlas Energy in a deal valued at close to $6 billion, creating a huge energy transportation and storage company.
Targa Resources Partners LP, based in Houston, will pay $4 billion and assume $1.8 billion in debt for Atlas Pipeline. Each Atlas Pipeline unitholder will receive 0.5846 units of Targa Resources Partners and a one-time cash payment of $1.26 per Atlas Pipeline unit for total consideration of $38.66 per Atlas Pipeline unit.
U.S. stock indexes sank in late trading Monday, led by decline in energy stocks and the price of oil falls further.
The market is coming off a turbulent week during which it was shaken by concerns over shaky global growth prospects. Investors were also looking ahead to earnings news from a number of big companies later this week including General Electric, Intel and Bank of America.
NEW YORK (AP) — If you're a driver, a shipper or an airline, low oil prices sure feel nice. But there are downsides to the recent plunge in oil prices — for the oil industry and for the economy.
Low fuel prices can help boost economic growth by reducing fuel bills and leaving consumers and companies with more money to spend on other things. Problem is, two factors behind the oil-price drop — a weaker global economy and a stronger dollar — could hurt the U.S. economy by reducing exports, employment and spending. And all that, in turn, could outweigh the economic benefit of cheaper fuel.
Bloomberg examines the growth of fuel smuggling in Indonesia, ranging from small-time thieves to crime syndicates taking advantage of the nation's poor fuel distribution policies and more than $20 billion in yearly subsidies.
Prices for Brent crude for November fell 1.5 percent Monday to settle at $88.89 per barrel after dropping to $87.74 per barrel midday, the lowest front-month price since December 2010, Reuters reports. U.S. crude ended at $85.74, down 8 cents.
Energy Information Administration head Adam Sieminski told Platts Energy Week that lifting a ban on U.S. crude oil exports might not lower domestic gasoline prices, saying gas prices are driven mainly by global markets, The Hill reports.
BP looked to dismiss a recently discovered Interior Department inspector general report detailing a debate over potential compliance issues at a Gulf of Mexico offshore drilling platform, as a contractor and environmental group used the report to urge a federal judge to reopen a $256 billion safety case against the company, FuelFix reports.
China processed 10.3 million barrels of oil a day in September, a record analysts -- who say companies are replenishing their stockpiles -- attribute to the drop in crude prices, The Wall Street Journal reports.
Oil prices gained early Tuesday on news of record demand in China in September. Crude increased 55 cents, bringing the U.S. benchmark to $83.26 a barrel in electronic trading on the Nymex, while in London Brent hit $85.95, Reuters reports.
Monday’s settlement for November natural gas futures on the Nymex – down 9.6 cents to $3.67 per million British thermal units – represents an 11-month low, and analysts told Platts a mild weather forecast for the month will likely reinforce the sluggish trend.
Despite recent improvements in the numbers, oil and gas firms still have more deaths from explosions and fires than any other private industry and carelessness is still a problem, according to E&E’s review of federal statistics.
Rep. Lamar Smith, R-Tex. and chair of the House Science, Space and Technology Committee, has sent a second letter to Administrator Gina McCarthy about the Environmental Protection Agency’s rule limiting carbon emissions from existing power plants, this time demanding a full cost analysis in the face of what he calls “the flaws and deficiencies in EPA’s modeling,” The Hill reports.
The reduction in the federal investment tax credit that’s due to take effect at the end of 2016 will drive a wave of consolidation that will leave six to 12 major players in the solar industry, an analyst predicted at the start of the Solar Power International conference in Las Vegas, Bloomberg reports.
Tesoro Logistics is getting into the natural gas business, picking up assets from QEP Resources in Colorado, Utah and North Dakota in a deal with a $2.5 billion price tag, the San Antonio Express-News reports.
Taking the first formal step in the process to limit strontium in drinking water, the Environmental Protection Agency has issued a preliminary determination to regulate levels of the substance and will take public comment on the matter, The Hill reports.