Venado Oil & Gas and KKR Acquire Cabot Eagle Ford Assets
March 19 2018 - 4:30PM
Business Wire
Venado Oil and Gas, LLC (“Venado”) and KKR today announced that
they have closed on the acquisition of the operated and
non-operated Eagle Ford assets of Cabot Oil & Gas Corporation
(NYSE: COG) for a purchase price of $765 million, subject to
customary closing adjustments. Venado and KKR acquired interests
which include approximately 303 gross/203 net wells and 74,400 net
acres situated primarily in the Eagle Ford oil window of South
Texas (Atascosa, Frio, and LaSalle counties). During the fourth
quarter of 2017, the assets produced 15,656 net barrels of oil
equivalent per day (85% oil, 5% natural gas and 10% NGLs).
Venado CEO Scott Garrick stated, “The Cabot acquisition is a
high-quality asset positioned in the oil fairway of the Eagle Ford.
The combination of a strong production base and an attractive
inventory of future drilling locations fit well with our
disciplined business model of operating with free cash flow while
supporting long term growth. We look forward to implementing our
leading edge drilling and completion designs in one of the best
producing basins in the country.”
David Rockecharlie, Member and Head of Energy Real Assets for
KKR, commented, “We are excited to continue to build a
first-in-class Eagle Ford asset position alongside Scott and his
team. We continue to see an attractive market opportunity
throughout the Eagle Ford trend and believe we are well positioned
for future growth and long-term value creation through strong
operational execution.”
As of the closing date, the Venado and KKR partnership will hold
interests in 112,000 net acres, producing over 43,000 barrels of
oil equivalent per day from the Eagle Ford trend of South Texas.
Garrick added, “I am very pleased about what the Venado and KKR
partnership has been able to accomplish in a short period of time.
We will continue to execute on our Eagle Ford pure-play strategy to
consolidate premier liquids-rich assets.”
The Venado partnership is principally funded by KKR’s Energy
Income and Growth Fund I (“EIGF”). EIGF manages a portfolio of oil
and gas assets in numerous unconventional and conventional resource
areas across the United States. KKR has made more than ten
investments in the Eagle Ford to date.
About Venado Oil and Gas
Venado Oil & Gas is a private company focused on the
acquisition and exploitation of upstream oil and gas assets.
Headquartered in Austin, Texas, its primary objective is to build
and operate a portfolio of producing oil and gas wells and drilling
locations in the Eagle Ford Shale. For additional information about
Venado Oil & Gas, please visit www.vogllc.com.
About KKR
KKR is a leading global investment firm that manages multiple
alternative asset classes, including private equity, energy,
infrastructure, real estate and credit, with strategic manager
partnerships that manage hedge funds. KKR aims to generate
attractive investment returns for its fund investors by following a
patient and disciplined investment approach, employing world-class
people, and driving growth and value creation with KKR portfolio
companies. KKR invests its own capital alongside the capital it
manages for fund investors and provides financing solutions and
investment opportunities through its capital markets business.
References to KKR’s investments may include the activities of its
sponsored funds. For additional information about KKR & Co.
L.P. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on
Twitter @KKR_Co.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20180319006208/en/
Media:KKRKristi Huller or Cara Kleiman Major,
+1-212-750-8300media@kkr.com
KKR (NYSE:KKR)
Historical Stock Chart
From Mar 2024 to Apr 2024
KKR (NYSE:KKR)
Historical Stock Chart
From Apr 2023 to Apr 2024