- DAILY GPI
- MEXICO GPI
- SHALE DAILY
Chisholm Energy Holdings LLC, a startup producer backed by private equity (PE) giant Warburg Pincus, said Thursday it has a definitive agreement in hand to acquire undeveloped acreage in New Mexico’s Permian Basin.
Financial details were not disclosed about the transaction with Houston-based Resource Rock Exploration LLC, formed earlier this year with PE funds through Kayne Anderson Energy Funds.
The acreage, with multiple horizontal reservoir targets in the Bone Spring and Wolfcamp formations, is in Eddy County within the Delaware sub-basin.
Chisholm CEO Mark Whitley said the deal expands the company’s position in the Delaware, adding “scale and value to our growing platform in the region.” The company, he said, plans to “continue to pursue additional opportunities to deliver value.”
The newly acquired asset complements Chisholm’s existing position. Once completed, as expected in January, Chisholm said it would hold more than 30,000 net acres in the New Mexico Delaware.
Chisholm, managed by a roster of former Range Resources Corp. executives, was formed last year, backed by a $500 million line of equity from Warburg. In May, the Fort Worth, TX, operator completed its first asset acquisition in New Mexico’s Eddy and Lea counties from a private seller.
Chisholm currently is running three drilling rigs in the Delaware, with production estimated 4,000 boe/d.