KTG anticipates continuing its multi-rig program focused on the Eagle Ford and Austin Chalk, with a target of delivering over 500 mmcfe/d net on a pro forma basis in 2026
Kimmeridge expands integrated gas platform in South Texas with acquisition of assets from a private seller and midstream takeaway agreement with Kinder Morgan Texas Pipeline. (Credit: Terry McGraw from Pixabay)
Kimmeridge, an investment firm focused on the energy sector, announced that its affiliate, Kimmeridge Texas Gas (“KTG”), has signed a definitive agreement to acquire certain upstream assets from a private seller, as it expands its footprint in the Eagle Ford shale play. These assets, which include approximately 30,000 acres and current production of 65 mmcfe/d, have a strong degree of overlap with KTG’s existing 75,000-acre position in the play, offering significant scale and operational synergies. KTG anticipates continuing its multi-rig program focused on the Eagle Ford and Austin Chalk, with a target of delivering over 500 mmcfe/d net on a pro forma basis in 2026.
Kimmeridge also signed a definitive multi-year transportation agreement with Kinder Morgan Texas Pipeline LLC (KMTP) to secure midstream takeaway for its Eagle Ford natural gas, enabling KTG to deliver natural gas across multiple LNG facilities along the Gulf Coast. Combined with Kimmeridge’s previously announced investment in Commonwealth, an LNG export terminal project strategically located on the Calcasieu River at the Gulf of Mexico near Cameron, Louisiana, these investments deepen Kimmeridge’s South Texas foothold, and will position KTG to deliver natural gas/LNG from the wellhead to the water.
Ben Dell, Co-Founder and Managing Partner of Kimmeridge, said: “Our acquisition of these upstream assets and agreement with KMTP will meaningfully advance KTG’s ambitions of becoming fully integrated from source to sink, providing reliable, secure and clean energy to global markets. Kimmeridge has always sought to be a pioneer in the energy space, first with the ideation and implementation of a new E&P business model, followed by the formation of Civitas Resources, Colorado’s first carbon neutral energy company, and now as we build a leading international LNG platform. Through our investments in South Texas, we believe we will be able to deliver net zero LNG, where all Scope 1 and 2 emissions will be offset by a combination of mitigation, sequestration and carbon removal.”
Source: Company Press Release