Privately owned Hilcorp Energy Corp. has created a partnership backed by The Carlyle Group to exploit natural gas and oil "opportunities" in the North American energy sector, the Houston producer said Friday.
Hilcorp Energy Development LP is to receive up to $1.24 billion for the venture from Carlyle Energy Mezzanine Opportunities Fund LP and Carlyle Energy Mezzanine Opportunities Fund II LP.
"Hilcorp is one of the preeminent oil and gas developers and operators in the United States," said Carlyle Managing Director David Albert. "Hilcorp's superior ability to reduce costs and improve production and offtake efficiencies is impressive, and in large part, has enabled it to build a successful multi-decade track record of value creation."
Hilcorp Executive Vice President Jason Rebrook said Carlyle "understands the energy business and has the capacity to grow with us at a time in the oil and gas industry when we believe there will be significant opportunity."
Founded in 1989 and run by CEO Jeffrey Hildebrand, Hilcorp is one of the largest privately held independents in the United States with more than 1,300 employees. Earlier this month a subsidiary launched plans to build a manmade island six miles offshore the Beaufort Sea in Alaska to develop oil and gas (see Daily GPI, Dec. 14).
Hilcorp is the largest oil producer in Louisiana. It also has operating areas along the Gulf Coast in Texas and Louisiana, in the Northeast and in Alaska's Cook Inlet and North Slope.