Williams Cos Selling Assets In The Permian; Building In The Marcellus -- February 11, 2017

From Rigzone/Bloomberg: Williams making good on plan to double down in the Marcellus. Williams divesting assets in the Permian; gaining bigger stake in Marcellus

First deal:

• with Western Gas Partners LP
• Williams will exchange its 50% stake in a gas-gathering system in Texas for a bigger position in two gathering networks in Pennsylvania
• plus cash payment of $155 million
• this follows the failed $33 billion takeover of ETP LP last year
• gas supplies flowing out of the Marcellus have outpaced pipeline capacity 
• Williams has heavily invested in projects to bring more of that natural gas to  market
• Williams core: moving natural gas from the Marcellus to end-users in the mid-Atlantic, southeast, and the gulf coast
• analysts see it as somewhat of a wash: nice gain in the short term but Williams giving up growth in the Permian

Second deal:

• with Anadarko Petroleum
• Williams will sell its 33% stage in the Ranch Westex gas-processing plant in the Delaware Basin
• $45 million in cash

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Back To The Bakken

Active rigs:
 

	2/11/2017	02/11/2016	02/11/2015	02/11/2014	02/11/2013
Active Rigs	36	41	137	195	183

A reminder: the fate of the DAPL is now in the hands of DC federal judge. 

US rig counts: monthly rig additions are the most since 2012; NDIC stats suggest the number of active rigs in North Dakota dropped 10% this past week.