Warwick has completed its acquisition of R/C Sugarkane from Riverstone. No financial terms were disclosed; however, ArcLight Capital Partners led a consortium that includes Prudential Capital Group, Kramlich Investment Company, Serengti Asset Management and the Freeman Group, to provide the funding for the transaction. R/C Sugarkane is an upstream oil and gas company that owns 7,300 acres of the Eagle Ford Shale in South Texas.
OKLAHOMA CITY, June 13, 2014 /PRNewswire/ — Warwick Partners II, LLC, an affiliate of Warwick Energy Group (“Warwick”), an Oklahoma City-based oil and gas company, announced last month the closing of its acquisition of R/C Sugarkane, LLC from Riverstone Holdings, LLC (“Riverstone”) by Warwick Partners II, LLC. The transaction will be funded by an ArcLight Capital Partners led consortium of equity investors which includes Prudential Capital Group, Kramlich Investment Company, Serengeti Asset Management, the Freeman Group and Kyle Bass with Hayman Partners.
R/C Sugarkane is a private upstream oil and gas company that owns 7,300 net acres in the core, liquids-rich window of the Eagle Ford Shale in South Texas as well as associated gathering and related midstream infrastructure. The company is currently producing approximately 1,200 net barrels a day of oil equivalent in Live Oak, Atascosa and Karnes counties.
Katherine Richard, CEO of Warwick, said: “The Eagle Ford Shale is a world class, liquids-rich resource play and through this acquisition we have acquired a multi-year drilling inventory that is both substantially de-risked and held by production. There has been extensive drilling and production on our acreage and we are exceedingly encouraged by the downspacing results and optimizations being achieved by our operators, ConocoPhillips, Marathon and BHP Billiton.”
“We’re excited about our relationship with Warwick Energy and the prospects of this partnership,” said Mark Bisso, Principal at ArcLight. “Kate has assembled a top tier management team and the company is well-positioned to leverage its established production and infrastructure as it enters into a systematic development program.”
About Warwick Energy Group
Warwick Energy Group own interests in over 5,000 wells in 13 states. Warwick is one of the leading consolidators of onshore U.S. natural gas through acquisition and drilling and is a pioneer in the active management of non-operated oil and gas interests. The company was founded in 2010 by Katherine Richard, its CEO. Warwick is based in Oklahoma City with investment and technical teams led by industry veterans Shilpa Abbitt, Doug Bellis, Max Germin, Jessica Tompkins & Bob Wagner. Visit www.warwick-energy.com for more information.
About ArcLight Capital Partners, LLC
ArcLight is one of the leading private equity firms focused on North American energy infrastructure assets. Since its establishment in 2001, ArcLight has invested over $10 billion across multiple energy cycles in more than 100 power, midstream and production assets. Headquartered in Boston, Massachusetts with an additional office in Luxembourg, the firm’s investment team brings extensive energy expertise, industry relationships, and specialized value creation capabilities to its portfolio. Visit www.arclightcapital.com for more information.
About Prudential Capital Group Energy Finance Group
Prudential Capital Group manages a portfolio of $68 billion (as of 3/31/14) of privately placed financing – primarily senior, subordinated and mezzanine and equity financing. Prudential Capital Group is one of the largest providers of private capital in the country, providing up to $12 billion annually to middle-market companies. Prudential Capital’s Energy Finance Group has earned a reputation for its large appetite for complex transactions across the risk spectrum. Prudential Capital’s Regional Office Network has locations in Atlanta, Chicago, Dallas, Los Angeles, Minneapolis, New York, San Francisco, London, Paris and Frankfurt. Visit prudentialcapitalgroup.com for more information.