Blackstone, the private equity powerhouse, is reportedly exploring the possibility of selling Olympus Energy, a natural gas exploration company situated in Canonsburg, Pennsylvania. This potential sale, as per insider information relayed by Bloomberg, might fetch around $2 billion.
Currently, Blackstone is collaborating with financial advisors to pinpoint a suitable buyer for this company, which has a significant presence in the Appalachian region. However, nothing is set in stone. There’s still a possibility that Blackstone might decide to hold onto Olympus Energy. For now, discussions around the matter are being kept under wraps, according to the sources.
Attempts to get an official comment from Blackstone haven’t been fruitful, and Olympus Energy has also remained silent on these developments, as noted by the publication.
Olympus Energy, originally established as Huntley & Huntley Energy Exploration back in 2012, underwent a rebranding in 2019. The company currently operates over roughly 100,000 net acres in southwestern Pennsylvania.
Adding context to the current state of the industry, earlier in 2024, Chesapeake Energy entered into a $7.4 billion merger with Southwestern Energy, resulting in the birth of Expand Energy, which now stands as the largest natural gas producer in the United States.
When it comes to its financial clout, Blackstone manages assets exceeding a staggering $1 trillion. Moreover, in November 2024, Blackstone Credit & Insurance (BXCI), a branch of Blackstone, established a midstream joint venture with EQT, a major player in US natural gas production.
This joint venture includes EQT’s essential infrastructure assets such as the Mountain Valley Pipeline (MVP), transmission and storage facilities, and the Hammerhead pipeline. Under the terms laid out in the agreement, BXCI is committed to pumping $3.5 billion in cash for a non-controlling equity stake, which places the joint venture’s value at a whopping $8.8 billion.
This information was initially shared and made public by Offshore Technology, a brand under GlobalData. Please note, the details provided here are for general informational purposes and should not be construed as financial advice. Always seek professional guidance before making financial decisions based on this information.
