NGP Energy Capital powers up with $3.6bn for natural resources


US-based NGP Energy Capital Management has held a final closing of it NGP Natural Resources X fund on $3.586bn.

NGP X will continue NGP Energy Capital Management’s 23-year history investor in natural resources, focusing on the oil and gas production, oilfield services, and the energy mid-stream sectors through its Natural Gas Partners investment platform.

In addition, it will also focus on the water resources & services and food & agriculture sectors through its NGP Global Adaptation Partners investment platform.

Kenneth Hersh, CEO, said, “NGP X will invest in the same size deals that our track record has been built upon. The fund was activated in January 2012 and already has 11 investments in its portfolio. Many of these investments are managed by experienced management teams from prior NGP portfolio companies.

“Given our current investment pace and strong deal flow, we decided at the outset that fundraising efforts for NGP X would be limited to a one-year period to optimise our focus on the investment opportunities we are generating.

“We are very pleased with the amount of capital raised during the past year, especially given the recession’s impact on the overall fundraising market. NGP X is of sufficient size to allow us to continue our core investment business over the next several years.”

In addition to Natural Gas Partners and NGP Global Adaptation Partners, NGP’s investment platform also includes the NGP Energy Technology Partners private equity funds which provide capital for growth and buyouts in companies providing technology-related products and services for the oil and gas, power and alternative energy sectors and includes NGP Capital Resources Company, a Nasdaq-listed investment fund that focuses on providing debt and equity capital to the natural resources and broader middle market industries.

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