BlackGold Capital Management LP acquired a diverse portfolio of mineral and royalty interests in the Midland Basin in West Texas, the Houston-based firm said Jan. 22 as it continued what it described as an “opportunistic approach to income-generating investments.”
Founded in 2006, BlackGold is a private investment firm focusing on asset-heavy, cash-flowing investments in the energy industry—a strategy which co-founder Adam Flikerski said the firm’s recent acquisition exemplifies.
BlackGold said 72% of the net royalty acres in the acquired portfolio are leased by operators in the top quartile of active horizontal rig counts in the Midland Basin. Further, the firm added that 99% of the acquired net royalty acreage is leased by operators in the top half. The seller of the assets was not disclosed.
Erik Dybesland, co-founder of BlackGold, also added in a statement: “BlackGold continues to acquire mineral and royalty interests in the core of low-cost basins under best-in-class operators.”
Though it did not disclose the financial terms of this most recent transaction, BlackGold said it has completed acquisitions of mineral and royalty interests totaling roughly $150 million in the past 12 months.
KKR & Co. Inc. holds a 24.9% passive minority interest in BlackGold, according to the company release.
Recommended Reading
Air Products Sees $15B Hydrogen, Energy Transition Project Backlog
2024-02-07 - Pennsylvania-headquartered Air Products has eight hydrogen projects underway and is targeting an IRR of more than 10%.
Air Liquide Eyes More Investments as Backlog Grows to $4.8B
2024-02-22 - Air Liquide reported a net profit of €3.08 billion ($US3.33 billion) for 2023, up more than 11% compared to 2022.
Green Swan Seeks US Financing for Global Decarbonization Projects
2024-02-21 - Green Swan, an investment platform seeking to provide capital to countries signed on to the Paris Agreement, is courting U.S. investors to fund decarbonization projects in countries including Iran and Venezuela, its executives told Hart Energy.
Sunoco’s $7B Acquisition of NuStar Evades Further FTC Scrutiny
2024-04-09 - The waiting period under the Hart-Scott-Rodino Antitrust Improvements Act for Sunoco’s pending acquisition of NuStar Energy has expired, bringing the deal one step closer to completion.
Baker Hughes Awarded Saudi Pipeline Technology Contract
2024-04-23 - Baker Hughes will supply centrifugal compressors for Saudi Arabia’s new pipeline system, which aims to increase gas distribution across the kingdom and reduce carbon emissions