Magnum Hunter Resources Corp said on Tuesday it will sell a stake in a natural gas gathering unit in U.S. Marcellus and Utica shale fields to the infrastructure investment unit of Morgan Stanley, giving the two co-ownership in the business valued at $1 billion.In addition, Morgan Stanley Infrastructure will also purchase about 41 percent in Eureka Hunter from a unit of ArcLight Capital Partners LLC, a U.S. private equity company, for an unspecified amount.The U.S. shale boom has yielded multiple opportunities in natural gas for the bank. Earlier this year, Morgan Stanley's commodities arm, which is unrelated to the infrastructure business, filed to build a compressed natural gas (CNG) export plant.Morgan Stanley Infrastructure, the U.S. bank's infrastructure investing arm, will pay Magnum Hunter, a U.S. oil and gas company, $65 million for a 6.5 percent stake in the Eureka Hunter gas gathering business.
Magnum Hunter Resources Corporation (Magnum Hunter) is an independent oil and gas company engaged in the exploration for and the exploitation, acquisition, development and production of crude oil, natural gas and natural gas liquids, primarily in the states of West Virginia, Ohio, Texas, Kentucky and North Dakota and in Saskatchewan, Canada. Shares of MHR traded higher by 2.21% or $0.135/share to $6.24. In the past year, the shares have traded as low as $5.18 and as high as $9.27. On average, 3399110 shares of MHR exchange hands on a given day and today's volume is recorded at 3471394.
Morgan Stanley is a global financial services company that, through its subsidiaries and affiliates, provides its products and services to a range of clients and customers, including corporations, governments, financial institutions and individuals. Shares of MS fell by 0.37% or $-0.13/share to $35.08. In the past year, the shares have traded as low as $26.41 and as high as $35.23. On average, 8368960 shares of MS exchange hands on a given day and today's volume is recorded at 6093566.
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