Centalion has agreed to acquire Silver Hill Energy Partners' upstream and midstream natural gas portfolio in the core Haynesville and Bossier plays of Texas and Louisiana, adding roughly 72,000 net acres and about 300 mcf/d of net production. The deal value, reported by Reuters in August 2026 ahead of signing, sits between $1.2bn and $1.5bn; Centalion and Silver Hill have not disclosed consideration.

What is Centalion buying?

The package includes operated upstream production and supporting midstream infrastructure, including saltwater disposal capacity and long-haul gathering and transportation contracts. Silver Hill assembled about 300 gross operated development locations on the acreage.

Centalion, the trading house formerly known as Gunvor, said the acquisition adds a high-quality, scalable position. "This acquisition adds a high-quality, scalable position in the core of Haynesville, with a substantial development runway," chairman and CEO Gary Pedersen said.

Pedersen tied the deal to broader US energy supply goals, saying Centalion will deploy capital to develop natural resources, generate local economic activity and bolster the supply on which households and industries depend.

How did Silver Hill build the position?

Silver Hill founder and CEO Kyle Miller framed the divestment as the conclusion of a multi-year buildout. "After years of disciplined growth and risk management in a fluctuating market, we are thrilled with this outcome and confident our assets will thrive under Centalion's stewardship," Miller said.

The private operator accumulated most of its acreage between late 2021 and mid-2023. Over that window Silver Hill lifted gas output from under 100 mcf/d to above 300 mcf/d while running up to four rigs.

The company also tightened development and cost practices, expanded midstream and saltwater disposal infrastructure, signed long-term gathering and transportation agreements, and focused on optimisation in response to gas market volatility.

Silver Hill has raised roughly $4.2bn in institutional equity across five partnerships, deploying that capital across the late-2021 to mid-2023 acquisition campaign.

What does Centalion gain in the basin?

The transaction folds into Centalion's Gulf Coast natural gas strategy and stacks on earlier Haynesville additions made this year. On a pro-forma basis Centalion now operates one of the largest private-sector positions in the basin, according to the company.

Centalion will pair the new assets with its Gulf Coast infrastructure and trading operations, targeting optimisation and value creation across domestic and LNG demand points. The deal extends an ongoing collaboration between Centalion and Western Natural Resources, led by Heath Mireles.

The two parties plan to pursue further development in the basin under the same framework, leaning on Centalion's infrastructure and trading book to manage price exposure.

What does Silver Hill keep?

Silver Hill retains an operated portfolio anchored in the Bakken and Eagle Ford — about 115,000 net acres, roughly 1,000 gross drilling locations and associated midstream assets. The carve-out leaves the seller as a multi-basin private operator with a smaller gas weighting and continued exposure to liquids-rich plays.

Who advised the parties?

Greenhill, a Mizuho affiliate, served as Centalion's exclusive financial adviser, with Kirkland & Ellis as legal counsel. Jefferies advised Silver Hill exclusively; Willkie Farr & Gallagher provided legal counsel.

What to watch

The deal marks another data point on private-market valuations in the Haynesville, where 300 mcf/d of scalable, infrastructure-backed production has cleared the upper end of $1bn-plus.

Watch for Centalion's rig count on the combined acreage, the timing of pipeline tie-ins into Gulf Coast and LNG demand points, and whether further private-side consolidation follows in the play.