Page 12 - NorthAmOil Week 45 2021

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of additional mineral assets targeting the is expected to be immediately accretive to ENERGY TRANSITION
Hayneville play where we have been actively Kimbell’s cash available for distribution per
acquiring minerals and royalty over the last common unit and highlights our competitive Clean Energy and BP
12 months. These assets have compelling advantage in acquiring complex, multi-basin
upside potential and are under some of the mineral and royalty portfolios. We have broaden joint venture
top operators in the play with active drilling known the seller for nearly 20 years and this
programs. These acquisitions continue deal was agreed upon via direct negotiation, focused on renewable
to demonstrate our ability to high grade without a broker or intermediary. The
our asset base by acquiring higher margin seller’s production profile is a natural fit with natural gas project
minerals in our core areas of focus, while Kimbell’s existing portfolio and is supported
divesting of lower margin legacy non- by an attractive mix of conventional and development aimed at
operated working interest assets. Further, unconventional asset positions located in
our focus in the Haynesville play highlights the premier oil and gas basins in the lower delivering lower carbon
our belief in natural gas being the transition 48. Furthermore, the targeted assets are
fuel of the future and the Haynesville play’s characterized by an extremely shallow 9% intensity fuels
position as a key swing producing region in production decline rate, which will enhance
the United States.” Kimbell’s best-in-class PDP decline rate. The Clean Energy Fuels and BP today announced
PHX MINERALS, November 10, 2021 seller’s portfolio also includes an attractive that its renewable natural gas (RNG) joint
position in the Denver Unit in Gaines County, venture will build on previously announced
Kimbell Royalty Partners Texas, which is historically one of the most plans to finance and develop new projects at
dairy farms, starting in the Midwest.
prolific and stable units in the Permian Basin
announces $57mn having already produced over 1bn barrels of dairy farms, with more than 30,000 cows,
Located in South Dakota and Iowa, the
oil.”
acquisition of mineral and KIMBELL ROYALTY PARTNERS, November 09, have the estimated potential to convert the
methane produced from waste into more than
2021
royalty interests in cash Tailwater Capital sevenmn gallons of RNG annually.
Agriculture accounts for nearly 10 percent
transaction of US greenhouse gas (GHG) emissions,
according to the US Environmental
Kimbell Royalty Partners, a leading owner announces launch of Protection Agency. Capturing methane from
of oil and gas mineral and royalty interests Tailwater Royalties farm waste can lower these emissions. RNG
in approximately 13mn gross acres in 28 is used as a transportation fuel and has lower
states, today announced that it has agreed to to deepen investment GHG emissions on lifecycle basis when
acquire mineral and royalty interests from compared to conventional gasoline and diesel.
an undisclosed seller (the “Seller”) in an presence in key basins The California Air Resources Board has given
all-cash transaction valued at approximately similar projects a carbon intensity (CI) score
$57mn, subject to purchase price adjustments Tailwater Capital, a private equity firm that of weighted average of -320 compared to CI
and other customary closing adjustments. takes a full immersion approach to investing scores of 101 for conventional diesel fuel and
Kimbell intends to raise the proceeds for the in energy solutions, today announced the 15 for electric batteries.
purchase price through a combination of formation of Tailwater Royalties and the “The demand for RNG is rapidly growing,
an underwritten public offering of common appointment of Doug Prieto and Quillan highlighted by our recent announcement to
units (announced substantially concurrently Harris as the new entity’s President and Vice fuel a new fleet of Amazon heavy-duty trucks
with this release) and borrowings under its President, respectively. deploying across the country,” said Clay
revolving credit facility. Kimbell estimates As experienced and innovative investors in Corbus, senior vice president and co-head of
that, as of November 1, 2021, the Seller’s the energy and growth infrastructure sectors, renewable fuels at Clean Energy. “Our joint
royalty assets produced 700 boepd (6:1) (240 Tailwater seeks to leverage its positioning and venture with bp to develop new supplies is
bpd of oil, 123 Bpd of NGLs and 2,021 Mcf/d insights to invest in diversified, value-add critical to keeping up with this demand. The
of natural gas) across a diverse property strategies. Tailwater Royalties will deepen RNG that is expected to flow from these
set with over 26,000 gross producing wells the firm’s footprint in critical regions with dairies to our fuelling infrastructure will allow
concentrated in the Permian (39%), Mid- a focus on the acquisition of minerals and our customers to dramatically reduce their
Continent (31%) and Haynesville (14%) royalties across multiple basins throughout carbon emissions and turn their sustainability
basins. The board of directors of Kimbell’s North America, including the Permian Basin, goals into reality.”
general partner and the governing bodies of Williston, Eagle Ford and Rockies. Through Dynamic Holdings will oversee
the seller have each unanimously approved the leadership of Mr. Prieto and Mr. Harris, construction and develop and operate
the Acquisition, which is expected to close Tailwater Royalties will continue to exemplify the facilities following the execution of an
in the fourth quarter of 2021, subject to Tailwater’s commitment to a partnership- agreement with the joint venture to execute
customary closing conditions. The effective based approach with investment theses that multiple phases of dairy RNG projects.
date of the Acquisition is expected to be build on proprietary knowledge and balanced CLEAN ENERGY FUELS AND BP, November 11,
November 1, 2021. portfolio construction. 2021
Bob Ravnaas, chairman and chief executive TAILWATER CAPITAL, November 05, 2021
officer of Kimbell’s general partner, said:
“This is a compelling bolt-on acquisition that

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