Lime Rock Resources Acquires $113 Million in Oil and Gas Properties in Two Regions3/2/2010
HOUSTON, March 2, 2010 — Lime Rock Resources, acquirers and operators of producing oil and gas properties in the United States, today announced that it has successfully closed two acquisitions, totaling $113 million, of working interests in oil and gas properties in Oklahoma and Texas from separate sellers. The largest acquisition was of the Potato Hills natural gas field in southeast Oklahoma from two private sellers after two sets of exclusive negotiations. The Lime Rock Resources team assumed operatorship of the field in late February.
Lime Rock Resources also recently acquired interests in wellbores in the Texas Gulf Coast region adjoining its existing New Years Ridge property. The smaller acquisition was also from a private seller. The Lime Rock Resources team is actively seeking to make additional acquisitions in the Mid-Continent, Permian Basin, Texas Gulf Coast, and other basins in the United States.
Eric Mullins, co-CEO of Lime Rock Resources, noted, “We are grateful that we have been able to close two acquisitions in the last several months, but we don’t think that this is a coincidence. The oil and gas property market appears to have reached some balance, in which sellers and buyers can better reach agreement on a fair price. This is motivating sellers, as in the case of our newest properties, to rationalize their portfolios. And it is allowing us to acquire mature producing properties that are ideal for an operator like us, with our operations, efficiency, and cost focus.”
Charlie Adcock, co-CEO of Lime Rock Resources, added, “In both transactions, open-ended discussions about our capabilities and interest with the sellers led to completed transactions that were very different at the end of the discussion than at the start. We think that our flexibility, straightforwardness, ability to quickly respond and change—and, of course, our immediately available capital—resulted in deals that accomplished the goals of both us and the sellers.”
Established in 1998, Lime Rock manages $3.9 billion of private capital for investment in the energy industry through Lime Rock Resources, acquirers and operators of oil and gas properties, and Lime Rock Partners, investors of growth capital in energy companies worldwide. With over $850 million under management and an estimated acquisition capacity of $1.5 billion, Lime Rock Resources acquires, operates, and improves producing oil and gas properties in the United States. Based in Houston, the Lime Rock Resources team is acquiring a diverse group of proved oil and gas properties to provide its investors with attractive long-term returns.Back to News