Abu Dhabi-owned Mubadala Energy has acquired a 24.1% stake in Eagle Ford producer Kimmeridge Texas Gas (KTG) and South Louisiana export development Commonwealth LNG.
The deal, announced in April, closed Aug. 7.
A subsidiary of the Abu Dhabi government’s Mubadala Investment, the energy unit holds operated and non-operated assets about 70% gas totaling 370,000 boe/d net in 11 countries, primarily the Middle East, North Africa, Russia and Southeast Asia.
KTG and Commonwealth LNG are portfolio companies of Kimmeridge Energy Management, an alternative-asset manager. The business units fall under SoTex HoldCo LLC, which has been renamed Caturus upon the transaction’s close.
Now known as Caturus, the E&P unit produces 600 MMcfe/d net with a 1 Bcfe/d target by 2029 and long-term target of 3 Bcfe/d.
The 1.25-Bcf/d LNG development south of Lake Charles, Louisiana, is expected to reach a final investment decision (FID) later this year. Technip Energies will be the engineering, procurement and construction (EPC) contractor.
Dave Lawler, who was CEO of KTG, is now CEO of Caturus. Prior to joining KTG, he was chairman and president of BP America and led its onshore Lower 48 shale business unit BPX Energy.
“With the addition of world-class investors like Mubadala Energy, disciplined capital deployment, continued operational excellence and a commitment to environmental responsibility, Caturus is well-positioned to become a differentiated leader in the global LNG landscape and energy transition,” Lawler said in a Kimmeridge press release.
Kimmeridge said the name change to Caturus “is a major milestone in the platform's journey to deliver low-cost, low-emission natural gas from premier U.S. resource plays to global markets, connecting responsibly sourced fuel with midstream infrastructure and best-in-class LNG export capabilities.”
It added that Caturus is “building the only independent, fully integrated natural gas and LNG export platform in the U.S.”
Ben Dell, Kimmeridge managing partner, said, "Mubadala Energy's investment is a strong endorsement of our strategy at Caturus and we are excited to collaborate on bringing the only independent, fully integrated natural gas company to life.”
Mubadala Managing Director and CEO Mansoor Mohammed Al Hamed said: "Today's announcement is further evidence of our international growth strategy in action.”
Lawler said the E&P unit reaching more than 600 Bcfe/d of net production “is a testament to our team's capacity and deep experience to scale safely and efficiently across a competitive basin as we prepare to become one of the top gas producers in the U.S."
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