DALLAS, Jan. 10, 2019 /PRNewswire/ -- Aethon Energy
Management ("Aethon"), a Dallas-based private investment firm and
owner-operator of onshore oil & gas assets, today announced the
completion of its acquisition of natural gas assets from wholly
owned subsidiaries of QEP Resources, Inc. (NYSE: QEP). The assets
are located in the Haynesville
basin in northwest Louisiana.
The QEP assets comprise approximately 49,700 net acres and 607
operated wells of natural gas producing properties and undeveloped
acreage in the Haynesville. Aethon
III also acquired all of QEP's associated gas gathering and
treating systems related to these assets, supporting up to 600
MMcfe/d of production. The collective reserve base of QEP's assets
combines low risk, long life, and highly predictable production
with attractive development opportunities.
With the addition of the QEP assets, Aethon and its affiliates
operate in excess of 455,000 net acres and 650 MMcfe/d of net
production in the Haynesville
region and other previously acquired regions in the Wind River
basin of Wyoming. Aethon is the
operator of more than 2,650 producing wells and employs
approximately 220 professionals.
Gordon Huddleston, President and
Partner of Aethon Energy, commented, "We leveraged our in- depth
knowledge of the Haynesville to
underwrite and acquire these QEP assets. As a firm with a
long-term, asymmetric investment focus, we continue to find
attractive opportunities in the Haynesville given the quality of the resources
in place and the region's proximity to demand sources such as LNG
facilities and petrochemical plants."
Albert Huddleston, Chief
Executive Officer and Managing Partner, added, "This transaction
would not be possible without the unwavering support of our
institutional partners who continue to place their confidence and
capital with us. We look forward to developing these assets
and will continue to pursue additional acquisitions for Aethon III
that meet our strict underwriting criteria and offer strong
synergies."
In connection with the transaction BMO Capital Markets acted as
financial advisor, Weil, Gotshal & Manges LLP served as
corporate legal counsel, and Sidley Austin LLP served as finance
legal counsel to Aethon. Latham & Watkins LLP served as legal
counsel to QEP.
About QEP Resources
QEP Resources, Inc. (NYSE: QEP) is an independent crude oil and
natural gas exploration and production company with operations in
two regions of the United States:
the Southern Region (primarily Texas and Louisiana) and the Northern Region (primarily
North Dakota). For more
information, visit QEP's website at: www.qepres.com.
About Aethon Energy
Aethon Energy Management LLC is a Dallas-based private investment firm formed in
1990 that has managed and operated over $2.5
billion of assets, and is focused on direct investments in
North American onshore oil & gas. Aethon III is an investment
vehicle formed to acquire onshore assets in North America in partnership with the Ontario
Teachers' Pension Plan and RedBird Capital Partners. For more
information, go to www.AethonEnergy.com.
Media Contacts for Aethon Energy Management:
Prosek
Partners
Nick Rust or Meredith Mitchell
212-279-3115
nrust@prosek.com / mmitchell@prosek.com
Investor and Media Contact for QEP
William Kent, IRC
303-405-6665
will.kent@qepres.com
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SOURCE Aethon Energy Management