Past year: ▼ 95%(0.25c – 7.40c USD)
Each one in plain English, with the numbers worked through for a shareholder.
28 Apr 2014debt financing▲ GoodMajor
Banks lifted the borrowing base to $1.6 billion, kept commitments at $1.4 billion and pushed the revolver out a year to May 2017. This was the high-water mark of lender confidence; every redetermination after the oil price broke went the other way.
20 Mar 2014material agreement● Neutral
Set up a $200 million at-the-market programme to dribble units into the market as needed. A cheaper, quieter version of the underwritten raises, and a sign that regular equity issuance was now permanent plumbing rather than an occasional event.
31 Dec 2013asset acquisition disposition● NeutralMajor
Closed the third CrownRock deal plus $20 million of extra interests. The disclosure that matters is the last line: $727 million drawn against $1.4 billion of lender commitments, after roughly $1.15 billion of acquisitions in 2013 alone.
13 Dec 2013material agreement● NeutralMajor
A third CrownRock purchase, $282 million for more Permian acreage, with Breitburn saying it would hedge five years of the acquired production immediately. The hedges were the whole thesis: buy long-life production on debt and lock in the price.
22 Nov 2013debt financing● NeutralMajor
Issued a further $400 million of the 7.875% 2022 notes, taking that single issue to $850 million. Combined with the 2020 notes, unsecured bond debt was now well over $1.1 billion - the same notes whose holders would later be wiped down to a rights offering in bankruptcy.
18 Nov 2013material agreement● Neutral
Sold 19 million units at $18.22 for about $333 million to repay the borrowings used for Whiting. Each raise is bigger and each price lower than the last.
18 July 2013asset acquisition disposition● NeutralMajor
Closed the Whiting purchase at about $846 million, with Whiting continuing to run the fields until the end of October. Breitburn had roughly doubled its debt to buy a mature enhanced-oil-recovery project whose economics depend on a high oil price.
25 June 2013material agreement● NeutralMajor
Agreed to buy Whiting's Postle and North East Hardesty oil fields in Oklahoma's Texas County for about $859.8 million cash, with the related gas plant, CO2 and oil pipelines and CO2 supply contracts. It also took a 60% interest in Transpetco and used a $85.98 million deposit.
12 Feb 2013material agreement● Neutral
Sold 15 million units at $19.86 for about $285 million, the largest equity raise so far, once more to repay the revolver emptied by the Permian buying.
28 Dec 2012material agreement● Neutral
Closed the second round of Permian purchases from CrownRock and Lynden for about $189 million.
12 Dec 2012material agreement● NeutralMajor
Went back to CrownRock five months after the first Permian deal, agreeing to pay it $165 million and Lynden USA $25 million for more Wolfberry acreage - another $190 million on the bank line.
10 Dec 2012business combination● Neutral
Amendment No. 1 to the October 2012 registration for the $450 million 7.875% senior notes due 2022 exchange offer. The terms are unchanged; the main visible change is an updated list of earlier filings incorporated by reference, now including the September 2012 quarterly report.
6 Dec 2012asset acquisition disposition● Neutral
Closed the Belridge purchase, issuing the 3.0 million units privately to the seller.
27 Nov 2012capital raising announcement● Neutral
Agreed to buy Belridge field oil properties in Kern County, California, from American Energy Operations for $40 million cash plus 3.0 million units - about 825 barrels a day. Paying partly in units rather than cash was new, and a sign the revolver was already working hard.
18 Oct 2012business combination● Neutral
Breitburn filed a registration statement to swap up to $450 million of privately issued 7.875% senior notes due 2022 (issued earlier in 2012) for identical SEC-registered notes. No new money is raised; it adds the second tranche of senior notes to the bond debt that began with the 2020 notes.
28 Sept 2012debt financing● NeutralMajor
Added $200 million to the 7.875% 2022 notes, taking that issue to $450 million, again to repay bank borrowings. Bond debt was growing faster than the asset base it funded.
11 Sept 2012material agreement● Neutral
Sold 11.5 million units at $18.51 for about $204 million to clear the revolver drawn for the Permian deals.
2 July 2012material agreement● NeutralMajor
Closed both Permian deals - $150 million to Element and $70 million to CrownRock - with CrownRock's affiliate operating most of the roughly 160 future drilling locations. Breitburn was now a Permian owner but not, on the growth acreage, the operator.
29 June 2012material agreement● Neutral
Closed the NiMin Big Horn purchase at about $93 million after knocking $2.3 million off the price over two disputed leases.
11 May 2012material agreement● NeutralMajor
Two agreements on the same day - $146 million to Element Petroleum and the balance to CrownRock, about $220 million together - took Breitburn into the Permian Basin for the first time, funded on the bank line. Its seventh state and a deliberate tilt towards oil.
9 May 2012material agreement termination● Neutral
The affiliated California company PCEC (the old BreitBurn Energy Company) floated a royalty trust, and in the reshuffle Breitburn dissolved the joint partnership that held the East Coyote and Sawtelle fields, took over as operator with a 62.4% working interest, and stopped paying PCEC an operating fee. The related-party tangle from the 2008 Provident split was being simplified, though not severed.
27 Apr 2012material agreement● Neutral
Agreed to buy Big Horn Basin oil properties in Wyoming from NiMin Energy's Legacy Energy for $98 million. Only about 600 barrels a day, and next to fields Breitburn already ran - a bolt-on, not a new area.
8 Feb 2012material agreement● Neutral
Sold 9.2 million units at $18.80 for about $166 million, again to pay down the revolver. Note the price is falling with each raise: $21.25 a year earlier, $18.80 now.
13 Jan 2012debt financing● NeutralMajor
Raised $250 million of 7.875% notes due 2022 to repay the revolver. Same manoeuvre as the 2020 notes: bank borrowings used for acquisitions were termed out into long-dated bonds, leaving the revolver free to be drawn again.
2 Dec 2011material agreement● Neutral
Quicksilver sold its remaining 8 million units at $16.52 - well below the $19.78 it got six months earlier - and left the register entirely. Breitburn again received none of the money; the last piece of the old ownership dispute was gone.
7 Oct 2011asset acquisition disposition● NeutralMajor
Closed the Cabot purchase at $283 million, adding the Evanston and Green River Basin gas fields in Wyoming.
29 July 2011material agreement● NeutralMajor
Agreed to buy Cabot Oil & Gas's south-west Wyoming properties for $285 million, 95% natural gas, funded entirely on the bank revolver. The largest purchase to date and a deliberate move back towards gas.
20 June 2011material agreement● Neutral
Quicksilver Resources, a year after settling its lawsuit, sold 7 million Breitburn units at $19.78, cutting its stake to between 13% and 15%. Breitburn received nothing from the sale; the effect was simply that a large, previously hostile holder was heading for the exit.
10 Feb 2011material agreement● Neutral
Sold 4.9 million new units at $21.25 for about $100 million and used all of it to pay down the revolver. This is the pattern for the next four years: draw the bank line to buy assets, then issue units to clear the line.
19 Jan 2011business combination● Neutral
Breitburn filed a registration statement to swap its privately issued $305 million of 8.625% senior notes due 2020 (sold 6 October 2010) for identical notes registered with the SEC. No new money is raised and the terms are the same apart from being freely tradable; this completes the paperwork for the October 2010 bond issue.
