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Trading house Centalion buys Haynesville gas fields from Silver Hill

Trading house Centalion buys Haynesville gas fields from Silver Hill

Money Moves

The former Gunvor adds 300 million cubic feet a day of gas output and 72,000 acres in Texas and Louisiana. Analyst Novi Labs sees a path to 700 million.

October 5th, 2026: Centalion closes $1.5 billion Silver Hill purchase

Overview

Updated Oct 24

Gunvor Group renamed itself Centalion on October 2. Three days later the trading house bought a $1.5 billion package of Haynesville gas fields from Silver Hill Energy Partners, making it one of the largest private operators in the basin that runs across Texas and Louisiana.

The purchase adds 300 million cubic feet of gas a day across 72,000 net acres, plus gathering lines and saltwater disposal wells. Centalion and partner Western Natural Resources plan to develop the roughly 300 drilling locations that came with the land. Novi Labs, an energy analytics firm, says Centalion is targeting 700 million cubic feet a day, a level its model reaches in August 2028 at 30 new wells a year.

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 when Silver Hill began assembling it in late 2021.
72,000
Net acres in Haynesville and Bossier core
Acreage in the Texas and Louisiana core of both formations.
~$1.5B
Reported deal value
WSJ and The Advocate valuation; companies did not disclose final consideration.
~300
Gross operated development locations
Drill-ready inventory acquired with the assets.
~$2B
Broader Haynesville platform value
Value of Centalion's Haynesville position after the Silver Hill purchase, per The Advocate.
700 MMcfd
Haynesville production target
Target attributed to Centalion by Novi Labs, whose model reaches it in August 2028 at 30 wells a year.

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People Involved

GP
Gary Pedersen
Chairman & CEO of Centalion Group
Leading Centalion's push into US gas production
 Heath Mireles
Heath Mireles
Head of Western Natural Resources, Centalion's basin partner
Runs the Silver Hill assets Centalion bought in the Haynesville
KM
Kyle D. Miller
Founder of Silver Hill Energy Partners
Sold Haynesville assets; retains Bakken and Eagle Ford positions

Organizations Involved

CG
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
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.
WN
Western Natural Resources
Oil and gas operating company
Operates Centalion's Haynesville assets, including the former Silver Hill acreage

Centalion's basin partner for development and operations.

Timeline

2011 October 2026

6 events Latest: October 5th, 2026 · 1 month ago
Tap a bar to jump to that date

  1. 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.

  2. Gunvor rebrands to Centalion

    Rebrand

    Gunvor Group rebrands to Centalion Group, unveiling new ownership structure and strategy.

  3. Haynesville M&A outpaces the Permian at $7.8B for 2026

    Market

    Mergers and acquisitions in the Haynesville Shale reached $7.8 billion in 2026, more than in the Permian Basin, according to a J.P. Morgan Securities analyst cited by The Advocate. The Silver Hill sale was part of that total.

  4. Centalion buys Post Oak assets in Haynesville

    M&A

    Centalion, then called Gunvor, buys Post Oak assets in the Haynesville basin.

  5. Silver Hill starts building Haynesville acreage

    Expansion

    Silver Hill starts building Haynesville acreage through acquisitions, a campaign that runs to mid-2023.

  6. Silver Hill Energy Partners founded

    Corporate

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

Scenarios

1

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.

2

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.

3

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.

4

Centalion's Haynesville output reaches 700 MMcfd by end of 2028

Possible Resolves by End of 2028

Discussed by: Novi Labs, which modeled three development scenarios for the combined Haynesville position

Novi Labs says Centalion is targeting 700 million cubic feet a day from its Haynesville assets and forecasts that 30 wells brought online a year would get there in August 2028. Centalion has not published its own schedule, so the number is a yardstick rather than a commitment.

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.

Sources

(11)
+5
PR Newswire Centalion Wall Street Journal Reuters via OilMonster Houston Business Journal Hart Energy Reuters via MarketScreener The Advocate Centre for Energy Novi Labs (LinkedIn) Upstream Online