Luxe Energy Acquires Initial Assets of Approximately 18,000 Net Acres in the Core of the Delaware Basin
AUSTIN, TX--(Marketwired - January 21, 2016) - Luxe Energy LLC today announced the acquisition of certain undeveloped acreage and producing oil and gas properties located in Reeves and Ward Counties, TX from two separate sellers, Endeavor Energy Resources, L.P. and Finley Resources, Inc., for an undisclosed amount.
Combined Acquisition Highlights
- Approximately 18,000 net acres in the core of the Delaware Basin
- Majority operated with high average working interest
- Contiguous acreage enables long lateral drilling locations resulting in premium well economics
- Current net production of approximately 1,000 boe/d
- Opportunity to design, construct and operate midstream infrastructure
"We are excited to announce our initial acquisitions in the prolific Delaware Basin in West Texas," stated A. Lance Langford, Chief Executive Officer and President of Luxe Energy. "This is our first step, with the support of Natural Gas Partners, to build an inventory of highly meaningful and economic well locations. This core 'Deep Basin' acreage provides several thousand feet of overpressured oil column with numerous prospective intervals. The combination of these two positions allow operational efficiencies using best-in-class technologies. While we are thrilled to have closed on these two transformational acquisitions, Luxe Energy continues to identify, evaluate, and acquire additional growth opportunities."
Scott Gieselman, Managing Director of Natural Gas Partners stated, "NGP is very pleased to be in partnership with the Luxe Energy team and we are very excited that Luxe Energy has been able to assemble such a high quality asset base in a relatively short time. We look forward to continuing our partnership with the team as they continue to find additional opportunities around their existing asset base."
About Luxe Energy
Luxe Energy is an oil and gas company engaged in the acquisition, exploration, and development of oil and gas properties primarily focused on the Permian Basin. In May 2015, Luxe Energy received $500 million of private equity funding commitments from NGP Natural Resources XI, L.P., the most recent Natural Gas Partners private equity fund focused on natural resources and management. Luxe Energy's strategy is to acquire unconventional oil and gas assets in the Permian Basin of West Texas and other liquids rich basins throughout the United States, and to apply technology such as long reach horizontal drilling and multi-stage hydraulic fracturing to drive operational excellence. For more information, please visit www.luxeenergy.com.
About Natural Gas Partners
Founded in 1988, NGP Energy Capital Management is a premier investment franchise in the natural resources industry with $19.5 billion of cumulative equity commitments, organized to make investments in the natural resources sector. NGP's investment platform includes Natural Gas Partners, NGP Global Agribusiness Partners, and NGP Energy Technology Partners, L.P. www.ngpenergycapital.com.
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Source: Marketwired (Canada)
(January 21, 2016 - 6:00 AM EST)
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