# OKCpedia > Businesses & Employers >  Access midstream to be acquired by WPZ (Williams)

## PhiAlpha

Tulsa based Williams will acquire the remaining outstanding shares of Access Midstream (they already own 50%). HQ will be in Tulsa with large offices in OKC, Houston, Pittsburg, Salt Lake and Calgary.

Williams poised to acquire Access Midstream in $6B deal | NewsOK.com


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## Pete

Access was the company Chesapeake spun off and they in turn bought the two Central Park buildings from CHK, which I believe they pretty well fill.

Wonder if this change will reduce the number of OKC employees?

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## bchris02

It's always unfortunate when an OKC company is bought out by another company headquartered in another city.  Hopefully number of jobs here won't be too negatively affected.

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## Plutonic Panda

I don't like this news.

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## Plutonic Panda

Williams shares rise on $6 billion Access deal | News OK

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## adaniel

> I don't like this news.


These things happen. Just normal cycle of business.

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## HangryHippo

> Wonder if this change will reduce the number of OKC employees?


Hearing it most likely will.

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## rte66man

> Access was the company Chesapeake spun off and they in turn bought the two Central Park buildings from CHK, which I believe they pretty well fill.
> 
> Wonder if this change will reduce the number of OKC employees?


Yes, Access completely fills the North tower and has 2/3rd of the South Tower.  The goal was to have all of the South tower but some of the current tenants don't want to move.

Since the majority of the OKC employees are "back office" you can bet money that Williams won't have a need for many of them.

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## Pete

^

Thanks very much for the info, even if it's not the best news for OKC.

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## bchris02

Do you know how many employees are there?  How big of a hit will this be on OKC?

I don't like that OKC's loss is Tulsa's gain.

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## BrettM2

> Do you know how many employees are there?  How big of a hit will this be on OKC?
> 
> I don't like that OKC's loss is Tulsa's gain.


Better Tulsa than out of state.

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## ctchandler

BrettM2,
My sentiments exactly!  If it's for our state, I'm for it.  I would prefer OKC since it's home for me, but at least it's still benefitting Oklahoma.
C. T.


> Better Tulsa than out of state.

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## PhiAlpha

> Do you know how many employees are there?  How big of a hit will this be on OKC?
> 
> I don't like that OKC's loss is Tulsa's gain.


I've really felt like this was almost inevitable since WPZ became a major investor in Access. No point in one midstream company owning 50% of another down the turnpike and remaining separate. Access has many contracts with CHK (for obvious reasons) so I'm sure they will retain a relatively large presence here per the article. Having the bulk of the state's major energy companies here obviously helps our case as well. 


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## BG918

> Having the bulk of the state's major energy companies here obviously helps our case as well.


I'd be curious to know the difference in total employment for the energy industry in OKC and Tulsa.  I know they are huge sectors in both with it being larger in OKC.  Not sure what it would be if you lumped in Bartlesville with Tulsa as they are probably 3rd in the state for energy employment. I know Tulsa is more of a hub for midstream while OKC has more E&P.  Both have a good number of energy manufacturing companies.

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## Swake

> Having the bulk of the state's major energy companies here obviously helps our case as well.
> 
> 
> Sent from my iPhone using Tapatalk


Really

By market cap:

Tulsa - Williams - $39.31 billion
OKC - Devon - $31.87 billion
OKC - Continental Resources - $28.16 billion
Tulsa  - Williams Midstream Partners - $23.15 billion
OKC - Chesapeake - $19.92 billion
Tulsa - Magellan Midstream - $18.80 billion	 
Tulsa - Oneok - $13.38 billion
Tulsa - Oneok Partners - $13.00 billion
Tulsa - Helmerich & Payne - $12.37 billion
OKC - Access Midstream - $11.46 billion - Being purchased by Williams Midstream
OKC - Enable Midstream - $9.69 billion
OKC - OG&E - $7.38 billion
Tulsa - WPX Energy $4.62 Billion
Tulsa - Laredo Petroleum - $4.11 billion
OKC - Sandridge - $3.48 billion
Tulsa - Unit Corp - $3.33 Billion
Tulsa - Alliance Resources - $3.32 billion
Tulsa - Semgroup - $3.02 billion

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## PWitty

Almost all of those Tulsa companies you listed are either midstream or service (H&P) companies. I'm sure PhiAlpha was referring more to the operators (E&P companies), who Access/Williams would be looking to create/maintain business with.

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## PhiAlpha

> Almost all of those Tulsa companies you listed are either midstream or service (H&P) companies. I'm sure PhiAlpha was referring more to the operators (E&P companies), who Access/Williams would be looking to create/maintain business with.


I was actually typing exactly this before my phone died.

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## PhiAlpha

> Really
> 
> By market cap:
> 
> OKC - Devon - $31.87 billion
> OKC - Continental Resources - $28.16 billion
> OKC - Chesapeake - $19.92 billion 
> *OKC - Gulfport - $5.56 billion* 
> Tulsa - WPX Energy $4.62 Billion
> ...


I should have specified that I meant E&P Companies, not all Energy companies. I changed your list to reflect that and added Gulfport at $5.56B. You also didn't include any large private companies which would include AEP, one of the most rapidly expanding private E&P companies in the country, at between $8 & $10 billion, Tapstone (which is probably the same size or a little larger than the newly formed Samson Energy at this point), RKI Exploration, Chaparral Energy, and Kirkpatrick Energy (those three probably even out with Samson Resources and Kaiser-Francis, but may have a slight edge). Both Cities have a plethora of smaller private E&P companies but it's pretty much a push. The biggest difference is major E&P Companies and OKC hosts three of the largest independent E&P companies in country. 

A side note on Laredo, my sources may be incorrect but I've heard that they have one foot out the door in Tulsa. They are actively selling off most of their Oklahoma assets  and have been publicly annoyed at the lack of direct flights to Midland, where most of their properties lie. Again, could be wrong, but that is what I've heard.

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## BG918

I believe all of Laredo's assets are now in the Permian Basin, so that wouldn't surprise me; though there are companies in Oklahoma like CHK that does the majority of its business in Ohio/PA, or CLR in North Dakota with no non stop flights.  I don't see any way that OKC or Tulsa could support nonstop flights to Midland, even with oil traffic, when Kansas City and Austin have both been tried and failed.  Maybe if Southwest flew planes smaller than 737's.

Tulsa does have large offices for Apache and Newfield, though they are both based in Houston, and QEP Resources and Cimarex both based in Denver, as well as the major employment for Conoco in Bartlesville (all E&P's).  DVN, CLR and CHK though are like you said major E&P players and more and more companies will need a presence in the city to do business with them.  Tulsa will continue to build up its status as a midstream/energy services hub.  Houston remains the global energy capital and kingpin for Texas and Gulf regions while Denver is the center for the Northern Plains and Rocky Mountain region.

Williams in this instance wouldn't need duplicate executives but sales and engineering would still likely need to be in OKC.  Of 500 people working in OKC maybe 100-200 would go to Tulsa while the rest would probably stay and give Williams an OKC presence and work closely with CHK.  Just my guess.

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## Pete

AEP has already raised $10 billion.

Not sure about Tapstone but they obviously have big plans.

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## DoctorTaco

> I believe all of Laredo's assets are now in the Permian Basin,


A friend of mine just took a job with Laredo and they put him in Dallas. Apparently most of their technical people are already there...

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## PhiAlpha

> I believe all of Laredo's assets are now in the Permian Basin, so that wouldn't surprise me; though there are companies in Oklahoma like CHK that does the majority of its business in Ohio/PA, or CLR in North Dakota with no non stop flights.  I don't see any way that OKC or Tulsa could support nonstop flights to Midland, even with oil traffic, when Kansas City and Austin have both been tried and failed.  Maybe if Southwest flew planes smaller than 737's.
> 
> Tulsa does have large offices for Apache and Newfield, though they are both based in Houston, and QEP Resources and Cimarex both based in Denver, as well as the major employment for Conoco in Bartlesville (all E&P's).  DVN, CLR and CHK though are like you said major E&P players and more and more companies will need a presence in the city to do business with them.  Tulsa will continue to build up its status as a midstream/energy services hub.  Houston remains the global energy capital and kingpin for Texas and Gulf regions while Denver is the center for the Northern Plains and Rocky Mountain region.
> 
> Williams in this instance wouldn't need duplicate executives but sales and engineering would still likely need to be in OKC.  Of 500 people working in OKC maybe 100-200 would go to Tulsa while the rest would probably stay and give Williams an OKC presence and work closely with CHK.  Just my guess.


I think a midland direct flight would have a much better chance of working in OKC or Tulsa than Kansas City or Austin due to the lack of oil and gas activity in those cities (for the most part, why else would you go to Midland?).

OKC also has large regional offices for Linn Energy, Range Resources, Highmount (for now at least) and a few other multi regional operators though Apache is much larger than those. Tulsa's QEP office isn't too big and will probably shrink a bit in the coming years as they are selling off a very large chunk of their mid-con and especially Oklahoma assets. They will still retain a presence in Tulsa though since I think they operate most of their Ark-La-Tex assets out of that office. I'll add the SM Energy also has a decent sized office in Tulsa.  

As far as other companies with out of state assets and lack of direct flights. CHK is still a major, major producer in OK, virtually everywhere in Texas, southern Kansas, Louisiana, and Colorado so they have a lot more to gain by being here. They also have a large office in the northeast for the people that need to be on the ground more often and a contract with Netjet to get OKC based employees up there quickly if they need to. CLR also has major operations in OK and really there aren't too many places with direct flights to North Dakota especially not the area around the Bakken, so again, they have a lot less to gain by moving somewhere else. 

I agree though, Tulsa seems to be building steam as a midstream and services hub. That cmbined with OKC as a major E&P hub, will continue to be very good for the state. 



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## Pete

I heard today that this acquisition might actually turn into a good thing for OKC, as in they may be staying and expanding.

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## adaniel

> A friend of mine just took a job with Laredo and they put him in Dallas. Apparently most of their technical people are already there...


Laredo's Dallas office is in a rather odd & isolated part of west Farmers Branch, although if they were looking to get better flight access, that area is fairly close to DFW.  

Not that it needs it, but I will confirm as on my own knowledge that Laredo's days in Tulsa are likely numbered. Don't want to give away too much info, but their CEO Randy Fouch (Fauch?) has a history of building companies only to turn around and "flip" the assets. Either that will happen or they will bail for the swampy prairies of Farmers Branch.

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## BG918

> Laredo's Dallas office is in a rather odd & isolated part of west Farmers Branch, although if they were looking to get better flight access, that area is fairly close to DFW.  
> 
> Not that it needs it, but I will confirm as on my own knowledge that Laredo's days in Tulsa are likely numbered. Don't want to give away too much info, but their CEO Randy Fouch (Fauch?) has a history of building companies only to turn around and "flip" the assets. Either that will happen or they will bail for the swampy prairies of Farmers Branch.


I could see Randy selling Laredo, especially now that all of their assets are in the Permian.  Randy is pretty committed to Tulsa though and recently pledged $3 million from Laredo for the Gathering Place.
Laredo Petroleum pledges $3 million for new Tulsa park - Tulsa World: Local

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## pickles

> I heard today that this acquisition might actually turn into a good thing for OKC, as in they may be staying and expanding.


They've posted a goodly number of job announcements in the past few days.

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## Plutonic Panda

Oklahoma midstream firms agree to merge | News OK

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## Plutonic Panda

Oklahoma midstream firms agree to merge - Tulsa World: Business

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## Pete

Says the HQ will be in Tulsa but "major office" in Oklahoma City.

Remember, Access a spinoff from Chesapeake and they currently occupy One and Two Central Parks, buildings CHK sold to them.

$5 billion in annual revenues for the merged entity is pretty significant.  That's more than Continental did last year.

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## Swake

> Says the HQ will be in Tulsa but "major office" in Oklahoma City.
> 
> Remember, Access a spinoff from Chesapeake and they currently occupy One and Two Central Parks, buildings CHK sold to them.
> 
> $5 billion in annual revenues for the merged entity is pretty significant.  That's more than Continental did last year.


Not $5 billion in revenue, $5 billion in earnings.

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## Plutonic Panda

Merger with Access Midstream to make Williams Partners dominant player in Marcellus Shale - Tulsa World: Businesshomepage2

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## Pete

Williams just filed for a building permit to renovate some offices in the Central Park complex where Access is located.

Looks like they are staying put and expanding.

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## Pete

Announcement that Williams is completely closing the OKC office and moving 400 jobs to Tulsa:

http://www.tulsaworld.com/business/e...91a53945d.html

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## catch22

> Announcement that Williams is completely closing the OKC office and moving 400 jobs to Tulsa:
> 
> http://www.tulsaworld.com/business/e...91a53945d.html


Unfortunate.

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## progressiveboy

Unfortunate for OKC. This should be a time to reflect and examine diversification. I strongly believe OKC is still highly dependent on O&G. Boeing was a good start but still needs lots of white collar jobs such as insurance, finance, accounting firms.

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## Teo9969

progressive, are you in OKC?

The place is still popping and we're 2 years into a major downturn in Oil. Certainly we could always stand to have more companies from other industries, but OKC has weathered this storm pretty well. Things should be looking pretty grim right now with $60-$65 looking like the max price for oil for awhile.

But no, tons of investment, real-estate market is doing well, the retail/restaurant market is still very successful.

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## progressiveboy

Teo- I left OKC in 1999 so I have not lived there since, however, I have family and friends still reside in the city so I am in OKC every 2-3 months currently living in Plano, Texas. OKC is doing ok, but my observation and perception still leans that the city and State leans heavily on O&G.

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## Teo9969

> Teo- I left OKC in 1999 so I have not lived there since, however, I have family and friends still reside in the city so I am in OKC every 2-3 months currently living in Plano, Texas. OKC is doing ok, but my observation and perception still leans that the city and State leans heavily on O&G.


The State, absolutely, and given that the overall health of the state does indeed affect OKC (and Tulsa), Oil will affect OKC for a long time to come.

But the city comes nowhere close to leaning *heavily* on O&G. If it leans heavily on anything, it is government, both Federal (Tinker and everything associated, including companies like Boeing) and State (the Capital).

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## gopokes88

> Teo- I left OKC in 1999 so I have not lived there since, however, I have family and friends still reside in the city so I am in OKC every 2-3 months currently living in Plano, Texas. OKC is doing ok, but my observation and perception still leans that the city and State leans heavily on O&G.


With all due respect,

You have no idea what you're talking about and all available data says you are wrong.

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## rte66man

> Announcement that Williams is completely closing the OKC office and moving 400 jobs to Tulsa:
> 
> http://www.tulsaworld.com/business/e...91a53945d.html


The World story is misleading from an OKC perspective as the vast majority of the jobs that are moving won't have the people the currently occupy the position going with them.  It makes no mention of the remaining positions (such as mine) that are going away completely.

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## Teo9969

> The World story is misleading from an OKC perspective as the vast majority of the jobs that are moving won't have the people the currently occupy the position going with them.  It makes no mention of the remaining positions (such as mine) that are going away completely.


But that's probably the reality with most relocation stories, is it not?

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