We’re seeing lots of turn-and-churn in the energy industry today, starting with GE’s push deeper into the energy business with the $3 billion acquisition of Dallas-based equipment maker Dresser Inc.
GE’s energy business is spending the cash for Dresser’s position in gas engines, control and relief valves, and measurement and control equipment for gas and fuel distribution.
The deal follows several other GE Energy announcements in the last 10 days, including a joint venture investment in China’s wind energy market and a $700 million contract with Saudi Electricity Company for a new, high-efficiency power plant in Riyadh, Saudi Arabia.
Also this morning, Houston-based equipment maker T-3 said it will be acquired by Dayton, Ohio, based Robbins & Myers for $422 million. (Simmons & Co. and Vinson & Elkins provided financial and legal advice to T-3)
And Exxon Mobil said its looking to sell some of its shallow water assets in the Gulf of Mexico. The assets produce about 12,000 barrels of oil and 49 million cubic feet of natural gas per day and come from older fields — it’s a fairly typical move the oil majors make from time to time.
Other deals this week:
- Private equity firms ACON Investments and TPG Capital will buy Houston-based Marathon Oil Corp.’s Minnesota refinery and a portfolio of retail convenience stores in a deal worth about $900 million.
- Yesterday, Plains Exploration said it was buying into about 60,000 acres in the Eagle Ford play in South Texas as part of its ongoing move away from offshore production.
- Houston’s Atwood Oceanics said it contracted for the construction of two new-build drilling rigs for $190 million each.
Not all the wheeling and dealing will go off without a hitch: It appears Chesapeake Energy’s plans to have Indian conglomerate Reliance buy into its Eagle Ford assets is off, according to Reuters.