Kayne Anderson Energy Funds Announces Consolidation of Anadarko Basin Portfolio Companies Under New Management, Closing of New Credit Facility and Additional Equity Financing
Kayne Anderson Energy Funds is pleased to announce the equity consolidation of Casillas Petroleum Resource Partners, LLC, Native Exploration Holdings, LLC and Acacia Exploration Partners, LLC to form 89 Energy III, LLC (“89 Energy III”). Concurrent with the consolidation, 89 Energy III entered into a new syndicated credit facility and received additional equity contributions from energy private equity funds managed by Kayne Anderson. Kayne Anderson’s energy private equity platform is also excited to announce a new partnership with the 89 Energy III management team that will serve as new leadership for the company going forward.
89 Energy III has successfully entered into a new three-year credit facility with the majority of the existing lender syndicates of the predecessor companies. At closing, the 89 Energy III credit facility had a borrowing base of $ 250 million with Wells Fargo Bank, NA as administrative agent. Wells Fargo Securities, LLC acted as Left Lead Arranger for the syndication of the credit facility.
This consolidation further strengthens the financial and operational position of 89 Energy III, allowing it to achieve structural cost reductions from day one, leverage for additional savings opportunities and to continue the prudent and efficient development of its high-quality drilling inventory. 89 Energy III’s operational footprint is approximately 80,000 net acres across Oklahoma, with approximately 21,000 net boe / d of production. In addition, 89 Energy III will manage the assets of Triumph Energy Partners, LLC (“Triumph”), which consists of approximately 15,000 net acres in STACK with approximately 6,500 net boe / d of production.
John-Mark Beaver, President and CEO of 89 Energy III, said, “We are pleased to announce the partnership with Kayne Anderson’s Energy Platform as well as this transformative consolidation that provides scale and financial backing. solid for a unique company, highly economic asset from the middle of the continent. 89 Energy III is well positioned to evolve with the changing energy landscape and to judiciously develop our assets and seize strategic and scalable opportunities. ”
Ryan Sauer, Managing Director of Kayne Anderson Energy Funds, said: “We are delighted to partner with the talented management team of 89 Energy III and will seek to create substantial value in our current mid-continent asset through the continued use of existing inventory. and continued consolidation in the Anadarko basin. ”
ABOUT 89 ENERGY III
89 Energy III is an Oklahoma City-based private energy company specializing in the acquisition and development of oil and gas assets and with a proven track record of operational success and underground expertise in the Mid-Continent. . For more information, please visit huitynine.energy.
ABOUT KAYNE ANDERSON CAPITAL ADVISORS, LP
Kayne Anderson Capital Advisors, LP, founded in 1984, is a leading alternative management firm specializing in real estate, credit, infrastructure / energy, renewable energy and growth stocks. Kayne Anderson’s investment philosophy is to seek out niches, with an emphasis on cash flow, where our sourcing knowledge and advantages enable us to deliver above-average, market-adjusted investment returns. risk. As a responsible manager of capital, Kayne Anderson’s philosophy extends to promoting responsible investment practices and sustainable business practices in order to create long-term value for our investors. Kayne Anderson manages over $ 34 billion in assets (as of 3/31/2021) for institutional investors, family offices, high net worth and retail clients and employs more than 350 professionals in five main offices across the United States. United. For more information, please visit www.kaynecapital.com.
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89 Energy III, LLC
Kayne Anderson Capital Advisors, LP