E&P private-equity-backer NGP has re-upped with the Greenlake Energy team with $200 million for a second iteration, including an initial Delaware Basin acquisition.

Additional details on the acquisition were not disclosed except that it was “quite a bit smaller” than $200 million, “so we still have a lot of dry powder,” said Matt Gallagher, Greenlake founder, president and CEO.

Greenlake Energy I, also Delaware-focused, was formed with $200 million from NGP in 2021 and has drilled more than 60 horizontals there to date.

It is still actively drilling. In addition, “it acquired assets as well this quarter,” Gallagher said.

Prior to founding Austin, Texas-based Greenlake, Gallagher was president and CEO of Permian-focused Parsley Energy, which was sold in 2021 to Pioneer Natural Resources in a stock-and-debt deal valued at for $7.6 billion.

“The new capital commitment enables Greenlake [II] to continue its operational and commercial momentum generated at Greenlake Energy I,” the E&P said May 6.

It added that it recently completed three U-turn horizontals in the Delaware. Two of the horseshoe wells were with a single-run bottomhole assembly, Gallagher said.

Chris Carter, NGP managing partner, noted the firm’s partnerships with the Greenlake team members—many also formerly with Parsley—date to 2014 when NGP made an initial investment in Parsley.

Among them, they have drilled more than 750 Permian horizontals, Carter said.

Gallagher said the E&P “has built a strong investment alongside the NGP team and we are excited to carry that momentum forward with Greenlake Energy II.”

He added, “Our modern operator mindset gives Greenlake a distinct advantage in today’s energy landscape.”

Gallagher began his career with Pioneer Natural Resources and was on its board after the Parsley sale. Pioneer was sold to Exxon Mobil in 2024 for $64.5 billion in stock and debt assumption.

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