Avista Capital Partners and Liberty Energy Holdings have backed oil and gas company Laredo Energy with a $130m investment.
Laredo said it will use the investment to fund its drilling programme, which will be expanded to target the Eaglebine play in East Central Texas while continuing to drill multiple gas formations in South Texas.
The company operates two rigs and expects to drill a total of 25 wells this year.
Laredo’s proved reserves stand at more than 300 billion cubic feet of gas equivalent and it is producing more than 50 million cubic feet of gas equivalent per day.
Its assets include more than 110,000 gross acres of operated leases and non-operated interests in more than 31,000 gross acres.
Laredo president and CEO Glenn Hart said, “We’re excited about adding new equity capital to continue our very successful natural gas horizontal drilling program in Webb County while we pursue a promising new area.
“Our goal is to take 13 years of success in multistacked gas reservoirs in South Texas and put that experience and knowledge to work in the Eaglebine oil play, where we have a 30,000-acre position that has similar multiple stacked pay attributes.”
Avista is reportedly looking to exit its investment and financial news service InvestorPlace.
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