Percussion Petroleum recently closed an equity commitment from Carnelian Energy Capital Management LP, marking the firm’s second investment in the Houston-based oil and gas company.
Led by co-CEOs John Campbell III and Brian Zwart, Percussion Petroleum II will pursue the same acquisition and development strategy as its predecessor, which ended up selling the position it had assembled in the Permian Basin’s Northwest Shelf to Spur Energy Partners LLC in mid-2019.
In a joint statement on March 24, Campbell and Zwart said: “This is an exciting time to be well-capitalized as we pursue new opportunities, and we are glad to again be partnering with Carnelian. Our proven execution skillset, combined with Carnelian’s opportunistic investment style, provide us with the flexibility to move quickly as we evaluate and capture potential deals.”
The pair, which previously worked together at Rockcliff Energy LLC, are considering opportunities in “select onshore basins in North America,” according to the Percussion website.
Also based in Houston, Carnelian focuses on lower-to-middle market equity investments in North America, primarily in the upstream sector. The energy investment firm has about $1.8 billion of cumulative equity commitment, a company release said.
The value of the equity commitment to Percussion Petroleum II wasn’t disclosed.
Carnelian made its initial commitment to Percussion in February 2016 as its second investment from the firm’s first inaugural $400 million fund. The firm closed its second fund at $600 million in mid-2017 and its third at $775 million in mid-2019.
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