Oil, gas capital raises in April: Total collected sinks to $1.80B in quiet month

U.S. oil and gas companies covered by S&P Global Market Intelligence raised $1.80 billion in April, a steep drop from the $11.59 billion collected in the previous month. Capital raised from debt offerings contributed $1.45 billion to the total, while common stock deals and private placements pulled in a combined $349.4 million of capital.

As of April, oil and gas exploration and production companies have raised $17.80 billion, more than doubling from the $8.99 billion recorded by the same prior-year month. Year-to-date, oil and gas storage and transportation companies have pulled in $11.47 billion, down from the $21.02 billion in the same year-ago period. Oil and gas refining and marketing companies have raked in $5.79 billion, while integrated oil and gas companies brought in $750 million.

Common stock

* PHX Minerals Inc. on April 16 sold 6,175,000 class A common shares for about $12.4 million. The company intends to use the proceeds for acquisitions, working capital and general corporate purposes.

* PetroShale Inc. on April 7 sold a total of 29,252,965 common shares in a rights offering for $4.6 million. The Calgary, Alberta-based independent oil company plans to use the proceeds from the offering to repay debt and for general corporate purposes and working capital.

Debt

* Harvest Operations Corp. on April 26 offered 1% senior notes due April 26, 2024, for $499.2 million. Interest on the notes will be payable every April 26 and Oct. 26, starting on Oct. 26 this year. The offering's proceeds will be used for debt repayment, working capital and other general corporate purposes.

* Genesis Energy LP on April 19 issued 8% senior notes due Jan. 15, 2027, for $259.4 million. Genesis Energy said it will use the proceeds for general partnership purposes, including repayment of a part of the revolving borrowings under its credit facility.

* CrownRock LP on April 13 offered $400.0 million worth of 5% senior notes due May 1, 2029. The partnership will use the deal's proceeds to repay debt.

* Energy Ventures Gom LLC on April 8 sold $294.0 million of 11.75% senior secured second-lien notes due April 15, 2026. The company intends to use the proceeds for debt repayment, general corporate purposes and working capital.

Private placements

* Foothills Exploration Inc. on April 30 received $355,000 in a round of funding, during which the company issued convertible debt and warrants. A single investor participated in the transaction.

* Camber Energy Inc. on April 23 completed a private placement of promissory notes due Dec. 11, 2022, for gross proceeds of $2.5 million. The deal included participation from a returning investor.

* Southern Natural Gas Co. LLC on April 22 issued nonconvertible senior unsecured notes, due in 2023, for gross proceeds of $300.0 million. The proceeds will be used to refinance $300.0 million of 4.4% senior unsecured notes maturing June 15, 2021.

* Arkose Energy Corp. on April 22 received $960,000 in funding in exchange for common shares. Ten investors participated in the transaction.

* LanzaTech Inc. on April 21 received an undisclosed amount in a round of funding that included participation from new investor Sinopec Capital Co. Ltd. The company said it plans to use the proceeds to promote waste-to-chemicals production.

* Leucrotta Exploration Inc. on April 16 secured $6.0 million in funding in a transaction that included participation from four investors.

* Westbridge Energy Corp. on April 15 issued 32,060,000 subscription receipts for gross proceeds of approximately $3.2 million. The deal included participation from a group of institutional and accredited investors from Europe, Asia and across North America, including insiders. The corporation intends to use the proceeds in connection with its previously announced proposed combination with Georgetown Solar Inc. and also for general working capital purposes.

* Wilton Resources Inc. on April 9 issued 520,000 units for gross proceeds of $207,000, which the company said it will use for general corporate purposes and as a fund for the acquisition of an international oil and gas property.

* PetroShale on April 8 also closed a private placement of 120,747,035 common shares for gross proceeds of roughly $19.2 million. The company plans to use the proceeds to pay down its debt.

* LanzaJet Inc. on April 6 completed a round of funding that included participation from British Airways PLC, new investor Shell International BV and returning investors Suncor Energy Inc. and Mitsui & Co. Ltd. LanzaJet intends to use the proceeds to accelerate the deliveries of synthetic aviation fuel and the commercialization of its technology and to develop what the company termed a first-of-its-kind sustainable aviation fuel project in Georgia, among others.