Newly-formed Spur Energy acquires oil operations in Permian

 

When Chesapeake Energy in Oklahoma City acquired WildHorse Energy Resources in 2018, it resulted in the 2019 formation of Spur Energy Partners LLC by former executives of WildHorse.

Now they have announced the formation of a partnership with KKR, a leading global investment firm to acquire large, high-margin oil and gas production and development assets across the Lower 48. The companies also recently announced the signing of an agreement to acquire the Permian Northwest Shelf assets of Percussion Petroleum LLC.

The acquisition includes 380 gross producing wells and 22,000 net acres in the core of the Yeso formation in the Eddy and Lea Counties of Southeast New Mexico. Spur Energy also acquired some associated water and midstream assets. The purchase is expected to close in the second quarter of 2019.

Spur is led by CEO Jay Graham, co-founder and former CEO of WildHorse Resource Development Corporation (“WRD”), along with a core team of executives and key technical personnel from WRD who have worked together for many years through multiple successful upstream oil and gas ventures.

The Spur and KKR partnership will be funded by funds affiliated with KKR’s Energy Real Assets strategy, which has invested approximately $4.0 billion in capital across 12 transactions since 2015 and manages a portfolio of oil and gas assets in numerous unconventional and conventional resource areas across the United States.

Chesapeake Energy’s acquisition of WildHorse Energy was finalized this year.

 

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