Banpu Public Company LimitedBANPU's subsidiary BKV closed the Barnett gas acquisition, which Yuanta estimates will boost profit by 2-5% and gas sales volume by ~6%, supporting its Buy rating and 19 baht fair value.
BKV, a subsidiary of BANPU, has acquired additional upstream, midstream, and CCS assets in the Barnett gas field in the United States. The transaction value has not yet been disclosed under the terms of the purchase agreement. Analysts at Yuanta Securities (Thailand) estimate that the acquisition will add 65 mmcfd of gas production, or about 6% of current output, and increase carbon capture capacity by 100,000 tons per year, or roughly one-third more than at present. Their estimates do not yet include this project, as investment details are still pending. Initially, they expect an upside of about 6% to the gas sales volume assumption and a 2-5% boost to profit estimates on a full-year recognition basis. They maintain a Buy recommendation with a fair value of 19 baht.
Banpu Public Company LimitedBANPU's subsidiary BKV closed the Barnett gas acquisition, which Yuanta estimates will boost profit by 2-5% and gas sales volume by ~6%, supporting its Buy rating and 19 baht fair value.
BKV CorporationBKV, BANPU's subsidiary, acquired additional upstream, midstream, and CCS assets in the Barnett gas field, adding ~65 mmcfd of gas production and 100,000 tons/yr of carbon capture capacity.