Kentucky Power and TeraWulf Finalize Deal Doubling Data Center Demand to 1 GW

Constellation Energy Corporation's financing strategy is providing the flexibility to fund growth investments while maintaining an investment-grade balance sheet as the company expands its generation portfolio following the Calpine acquisition. In the first six months of 2026, CEG issued $5.0 billion of long-term debt and retired $5.35 billion, leaving total long-term debt of $19.6 billion as of June 30, including $13.0 billion of senior unsecured notes, with a Times Interest Earned ratio of 7.5 at the end of second-quarter 2026. The company issued $2.2 billion of senior notes in May, comprising $750 million of 4.55% notes due 2029, $600 million of 4.80% notes due 2032 and $850 million of 5.30% notes due 2036, with proceeds used to repay short-term borrowings and for general corporate purposes. CEG has identified $3.9 billion of growth capital for 2026-2027 and expects $11.5-$13 billion of free cash flow before growth during 2028-2029, supported by its BBB+ and Baa1 investment-grade ratings. The Zacks Consensus Estimate for 2026 and 2027 EPS indicates an increase of 29.82% and 8.76%, respectively, year over year, while Constellation Energy's trailing-12-month ROE is 14.89%, ahead of the industry average of 8.28%.

Magnolia Oil & Gas Corporation said its WildFire Energy acquisition is progressing smoothly and will support 4% to 5% annual organic growth in both oil and total production across the combined Eagle Ford and Austin Chalk portfolio. The company expects more than $100 million of annual run-rate synergies from the deal, with at least one-third realized by year-end 2026, while keeping drilling and completion capital reinvestment below 55% of adjusted EBITDAX. Magnolia has already sold non-core Dimmit and Zavala county properties for $47.5 million and received 616 net acres in Gonzales County, lifting its average operated working interest in the contiguous Karnes position to 98%. The company ended the third quarter with approximately $1.9 billion of net debt, putting leverage below 1.0x net debt to 2027E EBITDA at current strip prices, more than a year ahead of its original deleveraging timetable, and it repurchased about 2.3 million shares in the quarter, leaving roughly 267 million shares outstanding. For the fourth quarter, Magnolia guides production of 159 to 161 Mboe/d with oil at 49% to 50% of volumes and D&C capital spending of about $235 million, while for 2027 it projects oil and total production up 4% to 5% from a second-quarter 2026 pro forma base of roughly 78 Mbod of oil and 158 Mboe/d of total production, with D&C capital spending of $900 million to $950 million.