Rolling in the deepwater: Freeport-McMoRan Oil & Gas files for an IPO that could raise $1 billion

Freeport-McMoRan Oil & Gas, an oil and gas E&P focused on deepwater projects in the Gulf of Mexico, filed on Tuesday with the SEC to raise up to $100 million in an initial public offering. However, the deal size is likely a placeholder for an IPO that we estimate could raise as much as $1 billion.

The company is 100% owned by parent Freeport-McMoRan (NYSE: FCX).

The Houston, TX-based company, which was formed in 2013 and booked $3.9 billion in revenue for the 12 months ended March 31, 2015, plans to list on the NYSE under the symbol FMOG. Barclays is the sole bookrunner on the deal. No pricing terms were disclosed.