Kayne Anderson has invested over $400 million in Kraken Resources II. Based in Houston, Kraken II is a private energy company focused on the acquisition and development of onshore oil and gas assets throughout the Lower 48.
HOUSTON–(BUSINESS WIRE)–Kraken Resources II, LLC (“Kraken II” or the “Company”) is pleased to announce it has received an equity commitment in excess of $400 million from funds managed by Kayne Anderson Capital Advisors, L.P. (“Kayne Anderson”), including Kayne Anderson Energy Fund VIII, L.P. (“KAEF VIII”) and Kayne Private Energy Income Fund II, L.P. (“KPEIF II”) along with Kraken II’s management team.
Headquartered in Houston, Texas, Kraken II is a private oil and gas company formed to pursue large, oil-weighted acquisitions with an initial focus in the Williston Basin. The Company will target assets that have a significant existing production component and a multi-year inventory of development locations the Kraken II team can exploit.
The Kraken II management team is led by Bruce Larsen, President and CEO, and Brad Suddarth, Executive Vice President and CFO. Mr. Larsen and Mr. Suddarth currently lead Kraken Resources, LLC (“Kraken I”), an existing portfolio company of certain funds managed by Kayne Anderson. Kraken I’s operating footprint consists of over 130,000 net acres across North Dakota and Montana, with over 20,000 net boe/d of production.
Bruce Larsen commented, “We are excited to again partner with Kayne Anderson in search of acquisitions. Kraken I has drilled over 200 wells since 2017 and currently operates approximately 350 wells in the Williston Basin. We have built an organization of talented, driven people who will ultimately help Kraken II succeed in acquiring and developing a new asset base. We look forward to continuing to utilize our advantageous cost structure to drive meaningful improvements to operating margins and deliver superior investment returns.”
Mark Teshoian, Managing Partner at Kayne Anderson, said, “Over the course of our nine-year partnership, the Kraken II management team has demonstrated the ability to successfully manage a large-scale asset base across a number of commodity price cycles. We are excited to both continue our existing commitment to Kraken I and also to partner with this accomplished team once again.”
ABOUT KRAKEN RESOURCES II, LLC
Kraken Resources II, LLC is a Houston-based, private energy company focused on the acquisition and development of onshore oil and gas assets throughout the Lower 48.
ABOUT KAYNE ANDERSON
Kayne Anderson Capital Advisors, L.P., founded in 1984, is a leading alternative investment management firm focused on real estate, credit, infrastructure/energy, renewables, and growth equity. Kayne Anderson’s investment philosophy is to pursue niches, with an emphasis on cash flow, where our knowledge and sourcing advantages enable us to deliver above average, risk-adjusted investment returns. As responsible stewards of capital, Kayne Anderson’s philosophy extends to promoting responsible investment practices and sustainable business practices to create long-term value for our investors. Kayne Anderson manages over $30 billion in assets (as of 6/30/2021) for institutional investors, family offices, high net worth and retail clients and employs over 325 professionals in five core offices across the U.S. For more information, please visit www.kaynecapital.com.