3 Mar 2009securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO amended its automatic shelf registration statement.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
3 Mar 2009securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO filed the final prospectus for a registered offering.
12 Feb 2009substantial holder notice● Neutral
PRIMECAP Management Company reported a PLAINS EXPLORATION & PRODUCTION CO shareholding of 6,767,756 shares (6.29% of votes) in a periodic institutional filing.
1 Dec 2008asset acquisition disposition● NeutralMajor
PXP closed the sale of its remaining 50% Permian and Piceance interests on December 1, 2008 for $1.25 billion, receiving about $1.24 billion in cash after adjustments, and OXY ended its right of first refusal on the Los Angeles Basin fields. This resolves the September agreement. The pro forma figures say proceeds, after $15.0 million of fees, about $190 million for estimated taxes and about $60 million kept for corporate purposes, were used to repay revolver borrowings. The credit commitments fall to $2.3 billion and the borrowing base to $2.7 billion as set out in October.
7 Nov 2008quarterly activities report● Neutral
PLAINS EXPLORATION & PRODUCTION CO reported quarterly revenue of $719.5 million and net income of $493.1 million for the period ended 2008-09-30.
7 Nov 2008quarterly activities report● Neutral
PLAINS EXPLORATION & PRODUCTION CO reported quarterly revenue of $719.5 million and net income of $493.1 million for the period ended 2008-09-30.
6 Nov 2008substantial holder notice● Neutral
PRIMECAP Management Company disclosed a new substantial PLAINS EXPLORATION & PRODUCTION CO shareholding (5.66% of votes).
28 Oct 2008debt financing● Neutral
A letter agreement dated October 22, 2008 with JPMorgan will cut PXP's credit facility borrowing base from $3.1 billion to $2.7 billion when the $1.25 billion OXY sale closes, which PXP expects on December 1, 2008. On receiving the sale money, PXP will also voluntarily cut lender commitments from $2.7 billion to $2.3 billion. Other terms are unchanged. This follows the July 2008 increases made for the Haynesville purchase.
25 Sept 2008material agreement● NeutralMajor
On September 24, 2008 PXP agreed to sell OXY its remaining 50% working interests in the Permian and Piceance Basins for $1.25 billion cash, effective December 1, 2008, subject to closing conditions including antitrust clearance. OXY also agrees to end its right of first refusal on the Los Angeles Basin fields (Packard, San Vicente, Inglewood, Las Cienegas, Montebello). This is the second half of the 50% sale to OXY that closed in February 2008. The press release states the sale will cut corporate debt by at least $1 billion and that the properties produced about 13,000 BOE per day net to PXP with about 92 million BOE of proved reserves at December 31, 2007.
6 Aug 2008quarterly activities report● Neutral
PLAINS EXPLORATION & PRODUCTION CO reported quarterly revenue of $732.7 million and net income of $202.9 million for the period ended 2008-06-30.
6 Aug 2008quarterly activities report● Neutral
PLAINS EXPLORATION & PRODUCTION CO reported quarterly revenue of $732.7 million and net income of $202.9 million for the period ended 2008-06-30.
23 July 2008debt financing● Neutral
On July 23, 2008 PXP signed Amendment No. 3 to its credit agreement, raising lender commitments by $400 million to $2.7 billion and the borrowing base to $3.1 billion, subject to redetermination. Other terms are substantially unchanged. This increases borrowing capacity following the Haynesville purchase. The filing gives no explanation for the step beyond the amounts. The earlier $2.3 billion figure was the accordion exercise and this is a further amendment.
8 July 2008asset acquisition disposition● NeutralMajor
PXP closed the Haynesville deal with Chesapeake on July 7, 2008, paying $1.375 billion of the $1.65 billion price from its credit facility. The remainder is due by October 30, 2008, subject to adjustments. The Participation Agreement is now signed, committing PXP to fund 50% of Chesapeake's drilling and completion costs on future wells, up to another $1.65 billion, with an option on 20% of additional leasehold in a defined area. This resolves the acquisition itself, while the drilling funding and remaining payment stay open. The filing also includes an updated and corrected investor presentation.
2 July 2008debt financing● NeutralMajor
PXP agreed on July 1, 2008 to buy a 20% interest in Chesapeake's Haynesville Shale leasehold (about 110,000 net acres, no material proved reserves) for about $1.65 billion cash, to close July 7 and be funded by its credit facility. It also agreed to fund 50% of Chesapeake's drilling and completion costs on future wells over several years, up to another $1.65 billion. To help pay, PXP will exercise the $400 million accordion, taking commitments from $1.9 billion to $2.3 billion. This is a major new gas-shale commitment, partly using the cash raised from the earlier sales.
23 May 2008material agreement● NeutralMajor
PXP sold $400 million of 7 5/8% Senior Notes due 2018, completed May 23, 2008, with net proceeds of about $394.2 million used to repay revolver borrowings. The filing says those borrowings had been used to settle derivative positions, buy properties and for other purposes including the stock repurchase program. This adds fixed-rate debt and reduces revolver debt.
21 May 2008securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO filed a free-writing prospectus - marketing material for an offering in progress.
21 May 2008securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO filed a prospectus supplement for an offering off its existing shelf.
20 May 2008securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO amended its automatic shelf registration statement.
20 May 2008securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO filed the final prospectus for a registered offering.
17 Apr 2008asset acquisition disposition● NeutralMajor
PXP closed the South Texas purchase from Samson Lone Star and PYR Energy on April 17, 2008, covering 28,024 net acres. It paid $288 million in cash after third-party preferential rights and closing adjustments, below the $335 million announced on March 3 for 34,509 net acres. It was funded mainly with proceeds from the recent divestments through a like-kind exchange. Historical and pro forma financials, if required, will follow by amendment.
3 Mar 2008asset acquisition disposition● NeutralMajor
PXP closed the OXY sale on February 29, 2008, selling 50% of its Permian Basin and 50% of its Piceance Basin working interests and receiving about $1.53 billion in cash after adjustments (versus $1.55 billion in the December agreement). PXP keeps the other 50% of each and stays operator in the Piceance; OXY operates the Permian assets. The pro forma figures say the 2008 sales (OXY and XTO) raised $1.71 billion net of $21 million of fees, with $300 million put in escrow for a possible tax-deferred exchange and the rest used to repay the revolver. The same filing announces an agreement to buy South Texas producing properties (34,509 net acres) from a private company for $335 million, mostly funded by sale proceeds via a like-kind exchange, and raises 2008 sales volume guidance to 92,000-96,000 BOE per day. This resolves the OXY sale thread; the credit commitments and borrowing base now step down to $1.9 billion and $2.5 billion, which also opens the $1.0 billion buyback.
20 Feb 2008asset acquisition disposition● NeutralMajor
PXP closed the XTO sale of its San Juan Basin and Barnett Shale interests on February 15, 2008 for about $200 million cash, compared with $180 million in the December agreement. It will buy XTO's 50% interest in the Big Mac prospect for $20 million to hold 100%, expected to close before the end of Q1 2008. The credit facility was amended on February 13: once the XTO and OXY sales close, commitments fall by $1.0 billion to $1.9 billion and the borrowing base falls by $400 million to $2.5 billion, and PXP may buy back up to $1.0 billion of its stock. The OXY sale is not reported as closed. The board's compensation committee also raised base salaries (Flores to $1,200,000; Bourgeois, Talbert and Wombwell to $650,000, from March 1, 2008) and set 2007 bonuses equal to those amounts.
14 Feb 2008substantial holder notice● Neutral
Third Point LLC, Daniel S. Loeb reported a PLAINS EXPLORATION & PRODUCTION CO shareholding of 1,600,079 shares (2.20% of votes) in a periodic institutional filing.
13 Feb 2008substantial holder notice● Neutral
Third Point LLC, Daniel S. Loeb reported a PLAINS EXPLORATION & PRODUCTION CO shareholding of 1,600,079 shares (2.20% of votes) in a periodic institutional filing.
17 Dec 2007material agreement▲ GoodMajor
On December 14, 2007 (announced December 17) PXP signed two sale agreements. One is with a subsidiary of Occidental Petroleum (OXY) to sell 50% of its Permian Basin and 50% of its Piceance Basin working interests for $1.55 billion cash; OXY will operate the Permian assets and PXP will stay operator in the Piceance. The other is with XTO Energy to sell its San Juan Basin (New Mexico) and Barnett Shale (Texas) interests for $180 million cash plus XTO's 50% working interest in the Big Mac prospect. PXP also granted OXY a right of first refusal on certain Los Angeles Basin fields. The press release, per the filing, announces $1.75 billion of divestitures, a $1.0 billion share repurchase authorization, a 2008 capital budget and 2008 guidance, but the figures are not in the excerpt. Both sales are subject to closing conditions. The Piceance stake is part of the Laramie purchase in May 2007.
26 Nov 2007security holder rights change● NeutralMajor
Pogo's subsidiary, now owned by PXP, closed its tender offers and consent solicitations for its three series of senior subordinated notes (7.875% due 2013, 6.625% due 2015, 6.875% due 2017). It paid about $1,291.2 million to noteholders plus about $10.4 million of accrued interest, and amended each indenture to remove many of its protective covenants. After the final 6.625% notes were tendered, the 6.625% indenture no longer applies to Pogo. This is a follow-on to the Pogo acquisition, handling the debt Pogo brought with it, similar to the November 2006 tender of PXP's own 8.75% notes.
16 Nov 2007substantial holder notice● Neutral
Castlerigg Master Investments Ltd., Sandell Asset Management Corp., Castlerigg International Limited, Castlerigg International Holdings Limited, Castlerigg Global Select Fund Limited, CGS, Ltd., Castlerigg GS Holdings, Ltd. reported a PLAINS EXPLORATION & PRODUCTION CO shareholding of 3,674,941 shares (3.20% of votes) in a periodic institutional filing.
6 Nov 2007asset acquisition disposition● NeutralMajor
PXP completed the Pogo acquisition on November 6, 2007, after both companies' shareholders approved it at meetings that day. The price was about $3.4 billion: $1,461,540,030.26 in cash (funded by bank borrowings) and 40,063,702 PXP shares, which is lower than the roughly $3.6 billion first announced. PXP also replaced its credit facility with one of $2.9 billion commitments (expandable to $3.3 billion) and a $2.9 billion borrowing base, falling to $2.6 billion on the earliest of the first anniversary of the Pogo closing, a new permitted senior note issue, or certain asset sales plus equity issuance totalling $300 million or more. The facility matures November 6, 2012. The board grew from 7 to 9 with two former Pogo directors, Thomas A. Fry III and Charles G. Groat. The press release says total shares outstanding are about 113 million, and the authorized-share increase was approved. This resolves the Pogo merger thread.
19 Oct 2007substantial holder notice● Neutral
Castlerigg Master Investments Ltd, Sandell Asset Management Corp, Castlerigg International Limited, Castlerigg International Holdings Limited, Castlerigg Global Select Fund Limited, CGS, Ltd, Castlerigg GS Holdings, Ltd disclosed a new substantial PLAINS EXPLORATION & PRODUCTION CO shareholding (5.10% of votes).
1 Oct 2007securities registration● Neutral
PLAINS EXPLORATION & PRODUCTION CO filed the final prospectus for a registered offering.