Linn Energy unit completes merger with Berry Petroleum

Linn Energy LLC’s subsidiary LinnCo LLC reported the completion of its $4.3 billion merger with Denver-based Berry Petroleum Co., acquiring all of Berry’s outstanding shares. LinnCo subsequently contributed Berry to Linn Energy in exchange for the issuance of Linn Energy units.

Linn Energy LLC’s subsidiary LinnCo LLC reported the completion of its $4.3 billion merger with Denver-based Berry Petroleum Co., acquiring all of Berry’s outstanding shares. LinnCo subsequently contributed Berry to Linn Energy in exchange for the issuance of Linn Energy units.

The deal, which was first reported in February (OGJ Online, Feb. 22, 2013), creates one of the largest independent oil and natural gas companies in North America.

Linn Energy will have proved reserves of 1.1 billion boe, 54% of which are liquids. The company has 4.8 tcfe of proved reserves in producing US basins as of Dec. 31, 2012.

From late 2011 through mid-2012, Linn Energy acquired Plains Exploration & Production Co.’s Granite Wash oil and gas assets (OGJ Online, Nov. 8, 2011), along with BP America Production Co.’s holdings in the Jonah and Pinedale natural gas fields and the Hugoton field in southwestern Kansas for a combined $2.8 billion (OGJ Online, June 25, 2012; Feb. 28, 2012).

LinnCo was created to improve Linn Energy’s ability to raise additional equity capital to execute on its acquisition and growth strategy.

Berry has operations in California, Texas, Utah, and Colorado. The company in July let a contract for the installation of a buried seismic array at its North Midway-Sunset heavy oil field in Kern County, Calif. (OGJ Online, July 24, 2013).

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