NEW YORK & HOUSTON--(BUSINESS WIRE)--
Kohlberg Kravis Roberts & Co. L.P. (together with its affiliates, "KKR")
announced today that KKR has entered into a definitive agreement to
acquire certain Barnett Shale properties (the "Assets") from Carrizo Oil
& Gas, Inc. (NASDAQ: CRZO) for $104 million. The transaction, which is
expected to close in mid-May, is being made through KKR Natural
Resources ("KNR"), KKR's partnership with Premier Natural Resources
("Premier") to pursue investments in North American oil and gas
properties. The transaction is the third investment made by KNR and,
following the acquisition of certain properties from ConocoPhillips in
January, the second investment made by KNR in the Barnett Shale.
Located in North Central Texas and producing out of the Barnett Shale
formation, the Assets contain 122.4bcfe of total net proved reserves
(based on a third party estimate) and comprise 75 gross (58.5 net) wells
currently producing at a gross rate of 15.7mmcfe/d (8.3 mmcfe/d net).
"With their significant proved developed producing reserve component in
a reservoir we know well through our current operations in the region,
the assets are a great fit for our KKR Natural Resources platform. We
are pleased to add these assets to our oil and gas portfolio and remain
excited about the opportunity to grow the KNR platform through the
acquisition of additional oil and gas properties in North America," said
Jonathan Smidt, a Member at KKR and a senior member of KKR's Energy and
KKR announced its partnership with Premier in February, 2010. Founded in
June 2006 by former executives of Vintage Petroleum, Inc., Premier
currently operates a portfolio of assets located in the Barnett Shale,
the Texas Gulf Coast and the Permian Basin and has experience operating
assets in most of the major producing basins in the United States.
Founded in 1976 and led by Henry Kravis and George Roberts, KKR is a
leading global investment firm with $61.0 billion in assets under
management as of December 31, 2010. With 14 offices around the world,
KKR manages assets through a variety of investment funds and accounts
covering multiple asset classes. KKR seeks to create value by bringing
operational expertise to its portfolio companies and through active
oversight and monitoring of its investments. KKR complements its
investment expertise and strengthens interactions with investors through
its client relationships and capital markets platforms. KKR is publicly
traded on the New York Stock Exchange (NYSE: KKR). For additional
information, please visit KKR's website at www.kkr.com.
Premier Natural Resources was formed out of the acquisition and
exploitation business plan implemented by Vintage Petroleum, Inc.
Vintage was started in 1983 by Charles C. Stephenson and a team of
executives that built the organization up to a 75000 BOEPD oil and gas
company that owned and operated properties in the U.S., Argentina,
Bolivia, Canada, Ecuador, Trinidad and Yemen before being merged with
Occidental Petroleum, Inc in January, 2006 for a market valuation of
$4.1 billion. In North America, Vintage operated properties in all U.S.
major producing states from Alabama to California and from Canada to the
Federal Offshore Gulf of Mexico. For more information, visit www.premiernaturalresources.com.
KKR Media Contact:
Kristi Huller, + 1 (212) 750-8300
Source: Kohlberg Kravis Roberts & Co. L.P.
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