Willbros Group Inc. (NYSE: WG) is further streamlining its oil and gas operations through the sale of certain U.S. mainline pipeline assets, the Houston-based company said Jan. 12.
Willbros reached an agreement to sell the assets, which include primarily cross-country pipeline construction equipment, to WB Pipeline LLC, an affiliate of New York-based Meridien Energy LLC, for an undisclosed amount, according to a Willbros press release. The company also said valuation is based upon independent third-party appraisals and funding will occur in stages throughout first-quarter 2018 as Willbros completes existing pipeline projects.
Additionally, some Willbros senior management are joining WB Pipeline immediately, including Harry New, who is president of Willbros oil and gas segment. The company said others may join WB Pipeline once existing pipeline projects have been completed.
WB Pipeline is expected to operate under the name Willbros Pipeline, an affiliate of Meridien Energy, the release said.
Michael Fournier, Willbros president and CEO, said in a statement, “The sale of these mainline pipeline assets, coupled with our recently completed U.S. tank sale, reduces our risk profile in our U.S. oil and gas operations.”
Willbros will continue to serve the U.S. oil and gas industry through its facilities, pipeline integrity and lineal businesses, according to the release. The company completed the sale of its tank services business to ATS Group LLC in early January.
Recommended Reading
E&P Highlights: Feb. 18, 2025
2025-02-18 - Here’s a roundup of the latest E&P headlines, from new activity in the Búzios field offshore Brazil to new production in the Mediterranean.
Tethys Oil Suspends Kunooz-1 Well in Oman
2024-12-13 - The decision to suspend its Kunooz-1 exploration well comes after flow testing failed to confirm the presence of commercially-viable hydrocarbons, Tethys said.
E&P Highlights: Dec. 2, 2024
2024-12-02 - Here’s a roundup of the latest E&P headlines, including production updates and major offshore contracts.
Analysis: Middle Three Forks Bench Holds Vast Untapped Oil Potential
2025-01-07 - Williston Basin operators have mostly landed laterals in the shallower upper Three Forks bench. But the deeper middle Three Forks contains hundreds of millions of barrels of oil yet to be recovered, North Dakota state researchers report.
E&P Highlights: Dec. 16, 2024
2024-12-16 - Here’s a roundup of the latest E&P headlines, including a pair of contracts awarded offshore Brazil, development progress in the Tishomingo Field in Oklahoma and a partnership that will deploy advanced electric simul-frac fleets across the Permian Basin.