Mergers and Acquisitions:

• ARC Financial Corp. announced a non-binding offer to acquire all outstanding shares of STEP Energy Services Ltd. (TSX:STEP) not currently owned for $5.50 in cash per share, amounting to an enterprise value of ~$467MM. ARC currently owns ~55% of STEP’s outstanding common shares. STEP has formed a special committee of independent directors to review the offer.

• Hillcore Industrial announced the acquisition of Meridian Energy, a North Battleford, SK based provider of integrated power generation, energy infrastructure and operational support services. The acquisition will help expand Meridian Energy’s capabilities and to strengthen its presence in the energy sector.

• Tidewater Midstream and Infrastructure Ltd. (TSX:TWM) closed the previously announced acquisition of the North Segment of the Western Pipeline System from Pembina Pipeline Corp. and certain affiliates. The asset connects the Prince George refinery to crude supply from northeastern BC.

• E&P: ROK Resources Inc. (TSXV:ROK) announced a $52MM going-private transaction. ROK owns a diversified asset base in southeast SK and Alberta weighted to light crude oil production with further opportunities for natural gas development in the Kaybob area.

Financing:

• FLINT Corp. (TSX:FLNT) completed a recapitalization pursuant to a court-approved plan of arrangement. All senior secured notes amounting to ~$135MM were exchanged for ~99MM newly issued common shares. In addition, all accrued, unpaid dividends owed to preferred shares were extinguished and the preferred shares were subsequently exchanged for ~8MM newly issued common shares.

• Calgary based Rockpoint Gas Storage Inc. to launch an IPO seeking to raise between $418MM and $484MM. Rockpoint owns and operates natural gas storage facilities in AB, CA, OK and TX. Rockpoint has applied to have its shares under the trading symbol “RGSI”.

Other:

• AECO gas prices traded into negative territory for most of last week, pressured by rising producer output that LNG export terminals have yet to absorb. In response, some E&P companies are temporarily shutting in wells.

• AltaGas Ltd. (TSX:ALA) announced a trade agreement with global chemical manufacturer BASF (ETR:BAS) to supply butane and propane for chemical manufacturing and industrial use in Asian markets.

• Cedar LNG Partners (GP) Ltd. is seeking regulatory approval for additional production capacity. The $4B floating LNG export project can increase liquefaction capacity from 400 to 500 mmcf/d of natural gas. The increased capacity is driven by available capacity in existing pipelines and higher realized efficiencies.