Weekly OFS Newsletter
News Items Ending July 23, 2018
Mergers & Aquisitions
Tervita Corp. and Newalta Corp. closed the previously announced merger of the two entities, creating a leading energy focused environmental solutions provider primarily serving the energy, mining and industrial sectors. The newly merged company will operate under the name Tervita Corp. Despite the announcement, the Competition Bureau continues to actively review competition concerns related to the merger, focusing on both parties’ oilfield waste disposal services within the Western Canadian Sedimentary Basin.
The federal government is set to become the official owner of the Trans Mountain pipeline expansion despite combined efforts with Kinder Morgan Canada Inc. (TSX:KML) to identify another buyer before the July 22 deadline. Kinder Morgan is now expected to take Ottawa’s $4.5 billion offer to purchase the project to its shareholders post deadline date. The federal government continues to insist it does not plan to own and operate the pipeline long term.
The US Energy Department announced US crude oil production hit 11 million bbls/d last week for the first time in the nation’s history. The increase in output positions the US as the second largest producer of crude oil behind Russia.
Calgary, AB based Concept Electric Ltd. (Concept Group), a full service electrical contractor delivering project management and ongoing service and maintenance across Western Canada’s energy, petrochemical, power and mining sectors was placed in receivership on July 16 on application by its creditor.