DoublePoint Energy LLC recently had its borrowing base upsized, providing the private oil and gas company with “significant capital” to continue to pursue high-quality opportunities in the Permian Basin.

According to an April 6 release from the Fort Worth, Texas-based company, DoublePoint’s syndicated reserve-based lending (RBL) facility has been increased by 45%. The company also has more than $750 million of undrawn existing equity commitments.

DoublePoint Energy formed in June 2018 through the combination of Double Eagle Energy Holdings III LLC and FourPoint Energy LLC’s Permian subsidiary. Under the leadership of co-CEOs Cody Campbell and John Sellers, DoublePoint currently holds more than 95,000 net acres in the core of the Midland Basin.

In a statement, Sellers noted how the additional RBL capacity paired with the company’s undrawn equity commitment will allow DoublePoint “to play offense” in the down market.

“We are well-positioned to continue with a robust development program and are actively evaluating opportunities to acquire accretive assets,” he said before adding: “We are open for business.”


Double Eagle Energy: Natural-Born Deal Makers (Oil and Gas Investor February 2019 edition)

The existing equity commitments come from funds managed by affiliates of Apollo Global Management, Inc., Quantum Energy Partners, Magnetar Capital, funds managed by GSO Capital Partners LP, Double Eagle Energy Holdings, FourPoint Energy and other investors.

The increase in DoublePoint’s syndicated RBL facility was unanimously approved by the existing bank group. A new bank joined the syndication as well. Citigroup Global Markets Inc. was lead arranger.