After $900 Million Acquisition, Validus Sees Potential Eagle Ford Consolidation

Validus, with roughly $1 billion of capital commitments available for deals, is also looking to convert its “barrels in the ground” into high margin returns.

After $900 Million Acquisition, Validus Sees Potential Eagle Ford Consolidation

With the Permian Basin commanding consistently high valuations, the Eagle Ford appears poised to make some noise, Validus Energy CFO Cameron Brown told attendees of Hart Energy’s DUG Permian Basin and Eagle Ford conference and exhibition on May 18. (Source: Hart Energy)

FORT WORTH, Texas—A&D activity is likely to tick up in the Eagle Ford during the next couple of years and Validus Energy may well be one of the buyers, said the company’s CFO, Cameron Brown.

Denver-based Validus, with roughly $1 billion of capital commitments available for deals, “would love to continue to consolidate the basin,” Brown said at Hart Energy’s DUG Permian Basin and Eagle Ford Conference and Exhibition last month.

In March 2021, Validus Energy agreed to purchase Ovintiv’s Eagle Ford assets for $880 million. Ovintiv, formerly known as Encana Corp., purchased the assets in 2014 for $3.1 billion. Validus is backed by Pontem Energy Capital Management LLC, which shares board members including Brown.

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Darren Barbee

Darren Barbee is senior editor for Oil and Gas Investor magazine.