Corpus Christi Gearing Up to Handle US Shale Export Boom
Port officials on Tuesday are expected to consider $300 million in financing that would prepare the country's largest oil-export port - Corpus Christi, Texas - to handle a surge in U.S. shale production over the next five years.International buyers would like more U.S. crude but are unable to get it because of infrastructure constraints along the U.S. Gulf Coast. Terminals originally designed for imports only recently have revamped operations to handle exports including accepting…
Struggling U.S. O&G Companies Eye Rare Financing Deals
Some cash-strapped U.S. oil and gas companies are considering creating an unusual layer of debt as a way of surviving the rout in oil and gas prices, according to restructuring advisors. Chesapeake Energy Corp for example is considering the strategy to swap some of its roughly $9 billion debt. Severely distressed companies may issue so-called 1.5 lien debt, sandwiched between the first and second liens, to raise new capital. Investors with a stomach for risk would get a better yield than for the top debt, and have a stronger claim than junior creditors if the company filed for bankruptcy.
Storied Oil Trader Phibro Winds Down
Phibro, the storied energy trading firm run by famed oil investor Andrew Hall, is winding down in its current form, laying off some U.S. employees and pursuing a sale of some overseas operations, sources said on Tuesday. The divestment by Occidental Corp, which bought Westport, Connecticut-based Phibro from Citigroup Inc five years ago, will allow Hall to focus more squarely on his $3 billion Astenbeck hedge fund, one of the world's largest oil-focused funds. One source familiar with the matter said around a dozen U.S.
Mexico Orders Arrest of CEO in Oceanografia Fraud Probe
The Mexican Attorney General's office has ordered the arrest of the chief executive of oil services company Oceanografia, which is at the center of a fraud probe involving Citigroup Inc's local unit Banamex. Oceanografia CEO Amado Yanez is under police protection in hospital after undergoing emergency surgery on May 20, a statement from the attorney general's office said on Thursday. Yanez, who is also majority owner of Oceanografia, would be formally placed under arrest once he had left hospital, a spokesman for the attorney general's office said.