Owners of Permian Basin Operator Colgate Energy Reportedly Planning IPO

The offering by Colgate Energy, a privately held Permian Basin operator, would mark the first IPO of a U.S. oil and gas producer since Vine Energy went public earlier this year.

Owners of Permian Basin Operator Colgate Energy Reportedly Planning IPO

Pending closing of an acquisition announced in early November, Colgate Energy’s position in the Permian Basin covers roughly 108,000 net acres with estimated current net production of 62,000 boe/d. (Source: Hart Energy)

The private equity owners of Colgate Energy Partners III LLC are reportedly preparing to take the Permian Basin operator public in what would be the first major IPO of a Permian-based oil and gas producer since 2017.

Based in Midland, Texas, Colgate Energy is a privately held, independent oil and natural gas company operating in the Permian Basin. Since its founding in 2015 with backing from Pearl Energy Investments and NGP, the company has built a formidable position in the Permian’s Delaware Basin, including through a series of notable acquisitions made this year.

Now, Pearl Energy Investments and NGP are preparing to take Colgate public at a valuation approaching $4 billion, including debt, according to a report made by Reuters on Dec. 14 citing people familiar with the matter. A representative of Colgate declined to comment on the Reuters report.

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Emily Patsy

Emily Patsy is the senior managing editor for Hart Energy’s Digital News Group. She's responsible for the daily news flow and also manages the A&D Watch and Energy Pulse weekly newsletters.