Trading house Centalion buys Haynesville gas fields from Silver Hill

Overview

Updated 1 hour ago

Gunvor Group renamed itself Centalion on October 2. Three days later, the trading house agreed to buy a $1.5 billion stack of natural gas fields in Texas and Louisiana. That makes Centalion one of the largest private operators in the Haynesville basin.

The deal adds 300 million cubic feet of gas per day across 72,000 net acres, plus gathering lines, processing plants and saltwater disposal — infrastructure that ties each new well to its Gulf Coast trading book. Centalion and partner Western Natural Resources plan to drill out about 300 remaining locations, betting US gas demand keeps climbing as LNG exports and data center power needs grow. If prices cooperate, the trader controls its own supply; if not, it holds the acreage as option value.

Why it matters

A trading house now owns the wells behind its own gas trades, so Centalion's drilling decisions will help set US supply and LNG export volumes.

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Key Indicators

300 MMcfd

Current net production of acquired assets

Gas output from the Silver Hill position, up from under 100 MMcfd in two years.

72,000

Net acres in Haynesville and Bossier core

Strategically located acreage in Texas and Louisiana.

~$1.5B

Reported deal value

WSJ valuation; companies did not disclose final consideration.

~300

Gross operated development locations

Drill-ready inventory acquired with the assets.

~$2B

Broader Haynesville platform enterprise value

Includes Centalion's earlier Post Oak acquisition, per Reuters.

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People Involved

Gary Pedersen

Chairman & CEO of Centalion Group

Leading Centalion's push into US gas production

Heath Mireles

Head of Western Natural Resources, Centalion's basin partner

Will help run development of the Silver Hill assets

Kyle D. Miller

Founder of Silver Hill Energy Partners

Sold Haynesville assets; retains Bakken and Eagle Ford positions

Organizations Involved

Centalion Group

Commodities trading company

Formerly Gunvor Group; now a major US gas producer

One of the world's largest independent physical energy trading companies.

Silver Hill Energy Partners

Private energy company

Seller; retains Bakken and Eagle Ford assets

Dallas-based private oil and gas firm founded by Kyle Miller.

Western Natural Resources

Oil and gas operating company

Centalion's operating partner in the Haynesville

Centalion's basin partner for development and operations.

Timeline

2011 October 2026

5 events Latest: 3 days ago

Tap a bar to jump to that date

October 2026
Centalion closes $1.5 billion Silver Hill purchase
Latest M&A

Centalion closes $1.5 billion purchase of Silver Hill's Haynesville and Bossier gas assets. The deal adds about 300 million cubic feet per day of production and 72,000 net acres, plus midstream infrastructure.
3 days ago
Gunvor rebrands to Centalion
Rebrand

Gunvor Group rebrands to Centalion Group, unveiling new ownership structure and strategy.
6 days ago
2026
Centalion buys Post Oak assets in Haynesville
M&A

Centalion, then called Gunvor, buys Post Oak assets in the Haynesville basin.
2026
2021
Silver Hill starts building Haynesville acreage
Expansion

Silver Hill starts building Haynesville acreage through acquisitions, a campaign that runs to mid-2023.
2021
2011
Silver Hill Energy Partners founded
Corporate

Kyle Miller starts the Dallas private energy firm that later assembles the Haynesville position.
2011

Scenarios

Centalion ramps Haynesville drilling, production tops 400 MMcfd

Likely Resolves by End of 2027

Discussed by: Reuters and Houston Business Journal cited an active development program as the intended next step

Centalion and Western Natural Resources activate a multi-rig program to work through the 300 remaining drilling locations. The company's integrated trading arm can lock in margins by hedging its own production, softening price swings. Growth depends on gas prices staying above drilling costs.

Soft gas prices stall Centalion's Haynesville development

Possible Resolves by End of 2027

Discussed by: Reuters reported that the pace of future development will depend on natural gas prices

If Henry Hub prices drop below drilling economics, Centalion holds the 300 locations as option value instead of drilling them. The trading arm keeps buying and selling gas on the open market while the assets sit undeveloped. That leaves US supply growth in the basin roughly unchanged.

Centalion keeps buying to consolidate the basin

Possible Resolves by End of 2027

Discussed by: WSJ framed the deal as making Centalion a major player in the basin with room to grow

With a large balance sheet and an operating partner in place, Centalion buys more acreage from smaller private operators or distressed sellers. Each purchase adds inventory and strengthens its position with Gulf Coast LNG buyers. The company said the acquisition furthers its Gulf Coast gas strategy, which points to more deals.

Historical Context

2 moments from history that rhyme with this story — and how they unfolded.

February 2012 – May 2013

Glencore–Xstrata merger (2013)

Glencore, the world's largest commodities trader, spent roughly $30 billion in shares to absorb Xstrata, a major mining company. The deal turned a middleman into one of the largest producers of coal, copper and zinc.

Then

Created Glencore, the fourth-largest diversified miner, and gave the trader direct control of the mines that fed its trading desks.

Now

Became the model for traders moving into physical production, letting the firm hedge its own output and time the market with its own supply.

Why this matters now

Centalion's purchase is the same play in miniature — a trader buying production to guarantee supply for its Gulf Coast gas and LNG book.

January 2024

Chesapeake–Southwestern merger (2024)

Chesapeake Energy agreed to buy Southwestern Energy in an all-stock deal, a combination that made the merged company the largest US natural gas producer. The deal connected Appalachian and Haynesville acreage as producers positioned for LNG export growth.

Then

Reduced the number of public gas producers and concentrated inventory in fewer hands.

Now

Signaled a wave of gas consolidation ahead of expected LNG export demand — the same bet Centalion is making.

Why this matters now

Both deals show producers and traders building scale in the Haynesville and Gulf Coast region to serve growing LNG export capacity.