March 12, 2014
Liberty Resources II LLC Closes Acquisition of Bakken Assets
Denver, CO and London, UK (March 12, 2014) - Liberty Resources II LLC ("Liberty II") today announced the closing of its acquisition of oil and gas assets in North Dakota's Williston Basin for approximately $446 million, which reflects customary effective date purchase price adjustments. The acquisition was funded through equity investments from funds managed by energy private equity firm Riverstone Holdings LLC ("Riverstone"), including Riverstone Global Energy and Power Fund V and Riverstone Energy Limited ("REL"), Liberty II management and other investors, as well as third-party debt. REL contributed $66.4 million including its $13.3 million share of the deposit funded on January 30, 2014. The properties acquired comprise approximately 53,000 net acres primarily located in Williams, Divide, Burke and McKenzie counties and over 4,000 boe/day of production from the Bakken and Three Forks formations, which Liberty II will continue to target as it furthers the development of the acquired properties. The transaction represents the first acquisition by Liberty II since its formation in November 2013.
Liberty Resources II Chairman and CEO, Chris Wright, commented: "Over the past two years, Liberty's unique completions approach has consistently demonstrated the highest average production rates of any operator in the Bakken formation. This acquisition provides us with exposure to highly attractive areas of the basin where we have not previously operated and where we hope to achieve similar operational success as that achieved during our team's prior venture."
The Liberty II management team has identified a deep inventory of approximately 100 high quality Bakken and Three Forks drilling locations throughout the newly acquired acreage position. Management expects to deliver industry leading returns through the development of these locations using Liberty II's proven, best-in-class completion techniques.
About Liberty Resources II LLC:
Liberty Resources II is a Denver-based oil and gas company led by Chairman and CEO Chris Wright, President Mark Pearson and CFO Paul Vitek. Liberty II represents the second partnership between Riverstone and the Liberty management team, who previously partnered successfully to build and sell Liberty Resources to Kodiak Oil & Gas in July 2013. Similar to the strategy employed by Liberty Resources in the Bakken Shale, Liberty II will apply the management team's expertise in well completion design and execution to develop proven, yet largely undeveloped properties in the Williston Basin.
About Riverstone Energy Limited:
REL is a closed-ended investment company that invests exclusively in the international energy industry, with a particular focus on the exploration & production and midstream sectors. The company is well positioned to take advantage of, and benefit from, the large number of investment opportunities being driven by continued global energy demand, including the North American energy revolution. REL aims to capitalize on the opportunities presented by Riverstone's pipeline of investment opportunities and is listed on the London Stock Exchange, trading under the symbol RSE.
For Riverstone Energy Limited: