California-based Kayne Anderson Energy announced the consolidation of three Anadarko Basin portfolio companies putting them under new management and creating additional funding for the oil and gas efforts.
Under the consolidation, 89 Energy III, LLC was put in charge of the consolidated energy firms.
Kayne Anderson consolidated Casillas Petroleum Resource Partners of Tulsa, Native Exploration Holdings, LLC of Oklahoma City and Acacia Exploration Partners, LLC of Dallas, Texas.
The California-based energy funding company said 89 Energy III will have an operating footprint in the Anadarko Basin of nearly 80,000 net acres in Oklahoma with nearly 21,000 net boe/d of production.
Kayne Anderson’s announcement explained that 89 Energy III also closed on a new syndicated credit facility and received additional equity contributions from energy private equity funds managed by Kayne Anderson, a firm with more than $30 billion in assets for institutional investors.
At close, 89 Energy III’s credit facility had a $250 million borrowing base with Wells Fargo Bank, N.A. serving as Administrative Agent. Wells Fargo Securities, LLC served as Left Lead Arranger on the syndication of the credit facility.
Kayne Anderson’s energy private equity platform also created a new partnership with the 89 Energy III management team.
As part of the consolidation, 89 Energy III will also manage the assets of Triumph EnergyPartners, LLC of Tulsa which includes nearly 15,000 net acres in the STACK with 6,500 net boe/d of production.
“We are pleased to announce the partnership with Kayne Anderson’s energy platform along with this transformative consolidation that provides scale and strong financial footing for a one-of-a-kind, highly economic Mid-Continent asset,” said John-Mark Beaver, President and CEO at 89 Energy III.
“89 Energy III is well positioned to evolve with the changing energy landscape and to thoughtfully develop our assets and pursue strategic, scalable opportunities,” said Ryan Sauer, Managing Director at Kayne Anderson Energy Funds.
Sauer said the firms will continue to exploit the existing inventory and and create more value by further consolidation in the Anadarko Basin.
89 Energy III is an Oklahoma City-based, private energy company focused on the acquisition and development of oil and gas assets and has a proven track record of operational success and sub-surface expertise in the Mid-Continent.
Source: Kayne Anderson press release