Simmons & Co. welcomes midstream analyst
Simmons & Co. International recently announced that veteran energy analyst Mark L. Reichman joined its equity research department to cover energy master limited partnerships (MLP). Reichman will be responsible for initiating research coverage of the midstream MLPs, with plans for future coverage in other MLP sectors.
Jeff Dietert, managing director and co-head of equity research, commented, “We are excited about the vast North American unconventional resource base and the opportunities it presents for investment across the energy value chain. We believe there is substantial growth potential for the MLP sector associated with developing gathering, processing, transportation, storage and distribution infrastructure. Covering MLPs will provide additional insight into the development of these resources and will complement existing coverage of the E&P, integrated, refining, oil service and coal sectors, in addition to broadening our macro oil and natural gas research product. We are excited that Mark has joined us to lead this effort.”
Reichman previously served as a senior research analyst with Madison Williams and Co. beginning in 2008 and led the firm’s research coverage of MLPs.
Targa announces executive changes
Targa Resources Corp. and Targa Resources Partners LP recently announced a new executive line up. The appointments by the board of directors of the company and of the partnership's general partner become effective January 1, 2012.
Rene R. Joyce will take the role of executive chairman for the boards of directors of the company and of the general partner of the partnership. Joe Bob Perkins will succeed Joyce as chief executive of the company and of the general partner of the partnership and has also been elected as a member of each board of directors. Also, Michael A. Heim will assume the role of president and chief operating officer of the company and of the general partner of the partnership. Joyce will succeed James W. Whalen, who will remain on each of the boards of directors and on the management team.
Swift relocates global headquarters
Swift Worldwide Resources, a specialist supplier of manpower resources to the global oil and gas industry, is making its Houston office its new worldwide headquarters. As part of the move, chief executive Tobias Read and chief financial officer James Dymott are relocating from London to Texas.
“Swift has 21 offices in the centers of the oil and gas industry on six different continents, but it makes sense that our headquarters should be in Houston, the energy capital of the world,” said Read. Read has been chief executive of Swift since August 2010. Dymott joined Swift last May after several years in similar positions in blue chip companies.
Currently, Swift employs more than 300 in its offices worldwide, with 100 working in Houston. Swift’s database of contract and permanent oil and gas workers contains more than 100,000 contract and permanent hires with qualifications ranging from administrative assistants to engineers and vice presidents.
Chevron names new head of midstream operation
Chevron Corp. recently named Joseph C. Geagea corporate vice president and president, Chevron Gas and Midstream, effective January 1, 2012.
Geagea, 52, succeeds John D. Gass who will retire from Chevron after more than 37 years with the company. Geagea is currently the managing director responsible for Chevron’s exploration and production activities in the Asia South region, including Thailand, Bangladesh, Myanmar, Cambodia, Vietnam and China.
In his new role, Geagea will be responsible for commercializing Chevron’s natural gas resources and supporting the development of new growth opportunities worldwide. He will also oversee Chevron’s shipping, pipeline, power and natural gas trading operations. Geagea will report to George L. Kirkland, Chevron’s vice chairman and executive vice president of upstream and gas.
Select Engineering Inc. opens new office
Tulsa, Oklahoma-based Select Engineering Inc. announced plans to open a Houston office at the beginning of 2012.
The engineering, design and consulting firm expects to hire between 30 and 50 people within the next two months to staff the office, with room to expand. Much of Select’s work supports the refining and pipeline sectors of the energy industry, which is expanding rapidly.
Among Select’s clients are several Houston-area companies, including Kinder Morgan Energy Partners LP and Anadarko Petroleum Corp. The company’s entrance into the Houston market follows recent announcements that other engineering companies are planning to expand their presence in the city.
Southern Union Co. granted petition for Writ of Certiorari
Southern Union Co. recently announced that the U.S. Supreme Court has granted its petition for a Writ of Certiorari and will review the company’s 2009 sentence for an environmental violation.
Eric D. Herschmann, vice chairman, president and chief operating officer of Southern Union said, “We are gratified that the Supreme Court will hear our case. Southern Union was the victim of a crime by vandals who broke into one of our facilities. The company voluntarily bore the cost of the cleanup and was commended for its efforts by the state of the Rhode Island. We look forward to arguing our position before the Supreme Court.”
The matter stemmed from a 2004 break-in at the company’s Pawtucket, Rhode Island facility, in which vandals found and released mercury at the site and in a nearby neighborhood. The company sold its Rhode Island operations in 2006. Although the company had been commended by the state for its clean-up efforts, the then U.S. Attorney in Rhode Island filed a three-count indictment against the company in 2007.
The company was convicted of a single violation of the Federal Resource Conservation and Recovery Act for storage of mercury without a permit and sentenced to a fine of $6 million and a payment of $12 million in community service. The company appealed the conviction to the First Circuit, a panel of which affirmed the conviction and the sentence. The First Circuit denied rehearing en banc, leading to the filing of the petition for a Writ of Certiorari at the U.S. Supreme Court.
PSS Co. newly formed
A merger of Pipeline Supply & Service with Wasatch Supply has led to the formation of PSS Co., a supplier of consumable pipeline materials and specialty equipment for the oil and gas industry in the U.S.
PSS Co.has five strategically placed distribution points across the U.S., with plans to continue its geographic expansion. PSS Co. will serve as the parent holding company to Wasatch Supply, Pipeline Supply & Service and Porta Lathe, which provides pipeline cold-cutting services throughout North America.
For now, each PSS Co. division will maintain its own customer base, but will be moving to a unified brand platform to ensure greater availability, accessibility and delivery of products.
Hays Specialist Recruitment announces expansion
Hays Specialist Recruitment, the leading global specialist recruitment group recently announced its plans for expansion in the U.S. with the establishment of operations in Houston, Texas. This is the second Hays office to open in the U.S. this year and it will focus on the recruitment of skilled staff for the oil and gas industry.
The development of the Houston office will be spearheaded by Hays North American president John Faraguna, a long-term Houston resident with a B.S. and M.S. in geology and many years of experience working in the industry. Faraguna will be supported by Matt Underhill, global director of Hays who oversees the development of the oil and gas business for Hays around the world.
Says Faraguna, “An aging workforce makes it challenging for companies to attract and retain these people. Our global reach and focus on recruitment and staffing excellence will assist clients in finding these professionals either on a permanent or contract basis. Houston is the home of many companies with whom we already have established relationships in Europe, the Middle East, Asia or South America.”
TC Pipelines lists on New York Stock Exchange
TC PipeLines LP recently announced that it is transferring the listing of its common units to the New York Stock Exchange. Its common units began trading on the NYSE under the new symbol TCP on December 12, 2011.
"TC PipeLines LP has a 12-year track record of growing cash distributions for its unitholders. These distributions are underpinned with stable and predictable natural gas pipeline infrastructure assets," said Steve Becker, president, TC PipeLines GP Inc. "We look forward to joining other master limited partnership peers, and our sponsor, TransCanada Corp. on the NYSE."
Greene’s Energy Group announces acquisition
Houston-based Greene’s Energy Group, a leading provider of integrated testing, rentals and specialty services, has acquired the assets of Houston, Texas- and Magnolia Springs, Alabama-based Synergy Services from owner Mark Mattox.
The acquisition will broaden the offerings of Greene’s pipeline division and many of its drilling and production base locations. Greene’s Synergy Services will offer chemical cleaning including patented chemistry and processes; large volume product separation units; mechanical cleaning equipment; and other support equipment for cleaning various types of pipe, vessels and facilities. The business will report to the vice president of pipeline and international business, Tom Sawyer.
UGI and AmeriGas re-file Hart-Scott-Rodino Act notification
UGI Corp. and its wholly-owned subsidiary AmeriGas Propane Inc., the general partner of AmeriGas Partners LP announced recently that UGI has voluntarily withdrawn and will re-file the notification and report form filed under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended in connection with the proposed acquisition by AmeriGas Partners of the propane operations of Energy Transfer Partners LP.
UGI, the ultimate parent of AmeriGas Partners for HSR Act purposes, originally filed its required notification and report form under the HSR Act on October 28, 2011, and plans to re-file this submission on November 30, 2011 to begin a new waiting period under the HSR Act and to provide the Federal Trade Commission (FTC) additional time to review AmeriGas's proposed acquisition of Energy Transfer's propane operations.
Upon re-filing of the HSR notification and report form, the FTC will have an additional 30-day period in which to determine whether to close its investigation or issue a request for additional information and documentary material, commonly referred to as a second request. AmeriGas Partners and Energy Transfer have been working cooperatively with the FTC as it conducts its review of the proposed transaction..
As previously announced on October 17, 2011, AmeriGas Partners and Energy Transfer reached a definitive agreement for AmeriGas Partners to acquire the propane operations of Energy Transfer for total consideration of about $2.9 billion, including $1.5 billion in cash, approximately $1.3 billion in AmeriGas common units, and the assumption of some $71 million in debt.