Quantum Capital Group Acquires Assets from Caerus Oil and Gas for $1.8 Billion
2024年8月20日 - 1:00AM
Quantum Capital Group (“Quantum”) and Caerus Oil and Gas (“Caerus”)
today announced the closing of a transaction under which Quantum,
via two separate portfolio companies, has acquired Caerus’ oil and
gas operations for approximately $1.8 billion, including the
assumption of asset-backed securities and other liabilities. Caerus
is owned by a private investor group including Oaktree Capital
Management (“Oaktree”), The Anschutz Corporation, and Old Ironsides
Energy (collectively, the “Caerus Investor Group”).
QB Energy is acquiring the producing upstream assets, gathering
and compression midstream assets, approximately 600,000 acres, and
all other assets owned by Caerus in the Piceance Basin (the
“Piceance Assets”). QB Energy is a newly formed Quantum portfolio
company established in partnership with Roger Biemans, a seasoned
energy entrepreneur who has built and sold multiple portfolio
companies with Quantum over the past 18 years. Mr. Biemans will
serve as President and CEO of QB Energy. KODA Resources (“KODA”) is
acquiring the producing upstream assets, gathering and compression
midstream assets, approximately 160,000 acres, and all other assets
owned by Caerus in the Uinta Basin (the “Uinta Assets”, and
together with the Piceance Assets, the “Assets”). KODA is an
existing Quantum portfolio company led by President and CEO Osman
Apaydin and Executive Chairman Kurt Doerr.
“As an active private energy investor, we recognize the
important role of expanding access to clean and reliable energy in
key markets across the United States,” said Tom Field, Partner at
Quantum. “This transaction represents a unique opportunity for
Quantum to invest in substantial natural gas production alongside
large, contiguous acreage positions containing sizable hydrocarbon
resources with significant value creation potential. We believe
that KODA and QB Energy are well positioned to steward the next
phase of development and operation of the Assets to serve
responsibly natural gas demand centers in the western U.S. while
generating attractive returns for our investors.”
“Natural gas plays an increasingly important role in our energy
grid, offering a rare combination of sustainability, reliability,
and affordability that can allow us to meet rising power needs,”
said Chuck Davidson, Partner at Quantum. “The Caerus assets provide
access to some of the largest natural gas resources in the western
markets, which have experienced repeated, localized energy
shortages in recent years. Alongside our partners at KODA and QB
Energy, we expect to continue optimizing these operations, driving
significant value for our investors while helping bring reliable,
affordable, low-carbon energy to more end users.”
Roger Biemans, CEO of QB Energy, stated: “The Piceance Assets
represent the largest single asset base atop the second largest gas
resource in the continental U.S. QB Energy is acquiring a
shallow-decline production base with several decades of repeatable
drilling inventory and intends to employ a number of Caerus’
existing capable workforce to ensure continuity in both the field
and local communities.”
As a long-time investor and operator in Colorado’s energy
sector, I am honored to have the opportunity to lead QB Energy as
we launch this platform during a pivotal time for the U.S. energy
economy,” continued Mr. Biemans. “These strategically located,
world-class assets provide tremendous development potential in a
natural gas market experiencing both significant demand growth and
supply constraints. I look forward to working with the Quantum and
Caerus teams to support a seamless transition and unlock new value
for our customers, employees, partners, and Quantum’s
investors.”
“KODA has spent years decoding subsurface intricacies of the
Uinta gas window, and we believe we are uniquely qualified to
assume operatorship and further develop this high-quality
production base adjacent to our existing acreage,” said Osman
Apaydin, CEO of KODA Resources. “This transaction ushers in the
next chapter of the KODA/Quantum partnership, and we are thrilled
to be joined by many members of the existing Caerus team.”
Dave Keyte, Founder and CEO of Caerus, added: “It has been an
honor to lead this team and work with our investment partners for
the past 15 years to establish Caerus as one of the country’s
premier natural gas suppliers. Caerus was the first company to
fully adopt sandless fracks in the basin. We used that technique in
more than 500 wells across Colorado and Utah to significantly
reduce truck and rail traffic and improve well results to reach
record productivity levels in the basin. We also completed the
largest water treatment facility in the western U.S in order to
recycle 100% of our produced water for fracking purposes, greatly
reducing the need for fresh water and further reducing truck
traffic. I am proud to transition Caerus’ entire team and these
assets to a new group of owners who I know bring the right
development and management capabilities to responsibly maximize
their output over the long term. We wish them well.”
“On behalf of the Caerus Investor Group, we are very pleased to
complete the sale of Caerus to Quantum,” said Jordon Kruse,
Co-Portfolio Manager of Oaktree’s Special Situations
Strategy. “We want to thank Dave Keyte and his tremendous team
for their tireless work and operational discipline in consolidating
a world-class basin at deep value. We wish that entire team
continued success as they work with QB Energy, KODA, and Quantum to
build upon Caerus’ track record as a leading supplier of natural
gas to the western U.S.”
Vinson & Elkins LLP provided legal advice to Quantum, QB
Energy, and KODA. Caerus retained Jefferies and Evercore as
financial advisors, Davis Graham & Stubbs and Latham &
Watkins as legal counsel, and Bank of America as capital markets
advisor.
About Quantum Capital GroupFounded in 1998,
Quantum is a leading provider of private equity, credit, and
venture capital to the global energy and energy transition
industry, having managed together with its affiliates more than $27
billion in equity commitments since inception. For more information
on Quantum, please visit www.quantumcap.com.
Contacts
Quantum Capital GroupKate Thompson / Erik
Carlson / Madeline JonesJoele Frank, Wilkinson Brimmer
Katcher212-355-4449