Japanese trading house Mitsubishi is set to acquire 100pc of gas producer Aethon's shale gas assets in the US states of Texas and Louisiana, capitalising on rising local gas demand and growing opportunities for LNG exports.
Mitsubishi agreed on 16 January to take over all equity interests in Aethon III, Aethon United and related entities from Aethon Energy Management and existing stakeholders, including Ontario Teachers' Pension Plan and RedBird Capital Partners. The deal is valued at $5.2bn, excluding $2.33bn in debt. The transaction is expected to close in April-June, subject to regulatory approvals.
Aethon's 380,000 acres of shale gas assets, concentrated in the Haynesville shale basis across Texas and Louisiana, currently produce around 2.1bn cf/d (59mn m³/d) of natural gas, equivalent to about 15mn t/yr of LNG. Output is projected to rise to 2.6bn cf/d in the coming years.
Aethon provides strategic access to key US Gulf coast markets and multiple LNG export terminals, including Cameron LNG, where Mitsubishi holds liquefaction capacity rights. Mitsubishi aims to export part of Aethon's gas production to Asia, including Japan, as well as to Europe.
