DIF invests in Australian waste-to-energy facility

DIF

Sydney, 17 October 2018 – DIF is pleased to announce that a consortium comprising DIF, Macquarie Capital and Phoenix Energy Australia has achieved financial close on a greenfield waste-to-energy facility in Kwinana, near Perth, Australia. DIF has acquired a 60% shareholding in the project through two of its funds: DIF Infrastructure IV and DIF Infrastructure V.

Once operational the facility will divert up to 400,000 metrics tons of household, commercial, and industrial waste from landfills each year, representing a quarter of Perth’s post-recycling rubbish. The facility will benefit from long term municipal waste supply agreements with Rivers Regional Council and the City of Kwinana, two regional councils located in the Perth region.

At the facility the waste will undergo thermal treatment, whereby the recovered energy is converted into steam to produce electricity. Metallic materials will be recovered and recycled, while other by-products of the process will be reused as construction materials. At full capacity, the facility will reduce carbon dioxide emissions by more than 200,000 metric tons per year, the equivalent of taking 43,000 cars off the road.

Acciona, a global leader in waste-to-energy facilities, will design and construct the facility. The facility will use Keppel-Seghers moving grate technology, a proven technology which is used in over 100 waste-to-energy facilities across the globe. During the construction phase, more than 800 jobs will be created including apprenticeships and a range of sub-contracting and supply opportunities for local businesses. Construction will commence this month, while start of operations is planned for the end of 2021.

Once operational Veolia, which operates over 60 waste-to-energy plants across the globe, will operate and maintain the facility under a 25-year agreement. During the operational phase approximately 60 full-time positions will be created.

Managing Director of DIF Australia, Marko Kremer, added: “DIF is excited to invest in this landmark waste-to-energy facility in Australia and looks forward to continuing its contribution to the sector going forward. European countries have long embraced the conversion of waste into energy, which has proven to deliver multiple benefits in terms of managing waste and contributing to a sustainable and secure energy supply.”

About DIF

DIF is an independent infrastructure fund manager, with €5.6 billion of assets under management across seven closed-end infrastructure funds and several co-investment vehicles. DIF invests in greenfield and brownfield infrastructure assets located primarily in Europe, North America and Australasia through two complementary strategies:

  • DIF Infrastructure V targets equity investments in public-private partnerships (PPP/PFI/P3), concessions, regulated assets and renewable energy projects with long-term contracted or regulated income streams that generate stable and predictable cash flows.
  • DIF Core Infrastructure Fund I targets equity investments in small to mid-sized infrastructure assets in the energy, transportation and telecom sectors with mid-term contracted income streams that generate stable and predictable cash flows.

DIF has over 100 professionals in eight offices, located in Amsterdam, Frankfurt, London, Luxembourg, Madrid, Paris, Sydney and Toronto. Please see www.dif.eu or further information on DIF.

For further information on the project, please contact:

Allard Ruijs
Partner
Email: a.ruijs@dif.eu

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SKYLINE Renewables signs agreement to acquire second windfarm in NW Texas

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Ardian

Acquisition of Hackberry Wind Farm more than triples Skyline‘s holdings Partnership between Ardian Infrastructure and Transatlantic Power Holdings continues to develop growing portfolio of US renewable energy assets

Portland, September 27, 2018: Skyline Renewables has agreed to acquire its second power generation asset, the 166 MW Hackberry Wind Farm in NW Texas, from Renewable Energy Systems Americas (RES).

The Hackberry Wind Farm in Shackelford County, Texas was established in 2008. It has 72 wind turbines and a PPA with the City of Austin. The Skyline Renewables acquisition entails a clean-up of the existing capital structure of the project, including the buyout of tax equity interests from GE Energy Financial Services and cash equity interests from RES as well a restructuring of the project debt facility. RES will continue to provide operations support for Hackberry during the transition of ownership.

“We have a clear goal – to become a leading North American clean independent energy platform,” said Skylines Renewables President & CEO, Martin Mugica. “To that end, RES has developed and managed Hackberry Wind Farm into a very attractive asset. This acquisition not only establishes Skyline with a robust foothold in the leading renewable energy state of Texas, it also provides us with additional resources for strategic growth in the near future.”

Skyline Renewables announced its first acquisition in March 2018, the 60 MW Whirlwind project, also in NW Texas. Skyline Renewables was created earlier this year as a partnership between Ardian and Transatlantic Power Holdings. Skyline Renewables will focus on acquiring operating and development projects in the onshore wind sector.

“As the industry transitions to the end of the PTC and new corporate tax reforms take effect, Skyline Renewables will continue its strategy to leverage opportunities in today’s renewable energy landscape in order to build a leading platform,” continued Mr. Mugica. “Skyline Renewables looks forward to capitalizing on more exciting opportunities in the near term.”

ABOUT SKYLINE RENEWABLES

Skyline Renewables is a partnership between Transatlantic Holdings (TPH) and Ardian, a world-leading private investment house, to establish a leading North American renewables platform with a total installed capacity of 3 GW. Skyline announced its first acquisition, Whirlwind, a 60MW windfarm in Texas, in March 2018. Skyline is led by CEO, Martin Mugica, a leading executive within the US clean energy sector with expertise in wind, solar, natural gas fired generation and power trading activities. Skyline Renewables’ leadership team features a number of the individuals who helped build and lead Iberdrola Renewables to become then the second largest and fastest growing renewables energy company in the US, at that time.

ABOUT RES

RES is the world’s largest independent renewable energy company active in a range of technologies including onshore and offshore wind, solar, energy storage and transmission and distribution. At the forefront of the industry for the last 35 years, RES has delivered more than 16 GW of renewable energy projects across the globe and supports an operational asset portfolio exceeding 3.5 GW worldwide for a large client base. RES employs more than 2,000 people and is active in 10 countries. For more information, visit www.res-group.com.

ABOUT ARDIAN

Ardian is a world-leading private investment house with assets of US$72bn managed or advised in Europe, the Americas and Asia. The company is majority-owned by its employees. It keeps entrepreneurship at its heart and focuses on delivering excellent investment performance to its global investor base. Through its commitment to shared outcomes for all stakeholders, Ardian’s activities fuel individual, corporate and economic growth around the world. Holding close its core values of excellence, loyalty and entrepreneurship, Ardian maintains a truly global network, with more than 530 employees working from fourteen offices across Europe (Frankfurt, Jersey, London, Luxembourg, Madrid, Milan, Paris and Zurich), the Americas (New York, San Francisco and Santiago) and Asia (Beijing, Singapore, Tokyo). It manages funds on behalf of more than 750 clients through five pillars of investment expertise: Fund of Funds, Direct Funds, Infrastructure, Real Estate and Private Debt.
Ardian on Twitter @Ardian

PRESS CONTACTS

ARDIAN US
The Neibart Group
Emma Murphy
emurphy@neibartgroup.com
Tel +1 718 875 4545
Cell +1 347 968 6800
RES
Alicia Rivera

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Partners Group to lead delivery of 226MW wind farm project in Australia

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Partners Group logo

Partners Group, the global private markets investment manager, has agreed on behalf of its clients to invest over AUD 200 million in equity to acquire and construct the first stage of Murra Warra Wind Farm (Murra Warra I) in Australia. The 226MW wind farm is being acquired from Renewable Energy Systems (RES) and Macquarie Capital, which jointly developed the project.

Partners Group is leading the delivery of Murra Warra I, which will comprise 61 Senvion 3.7MW turbines with a total nameplate capacity of 226MW, located approximately 30 kilometers north of Horsham in the state of Victoria. RES will work alongside Partners Group to provide certain ongoing services to support the project.

Construction of Murra Warra I commenced in March 2018 and is expected to be completed in mid-2019. The project has already entered into long-term power purchase agreements for a substantial portion of its generation output with investment grade commercial and industrial customers, including Telstra, Australia’s largest telecommunications company, Coca-Cola Amatil, Australia and New Zealand Banking Group (ANZ), the University of Melbourne and Monash University.

Once completed, Murra Warra I will generate enough clean energy to power 220,000 Australian households and offset over 900,000 tonnes of carbon emissions every year. The wind farm is also expected to support around 150 jobs in regional Victoria during construction, stimulating further investment in local businesses and services.

Benjamin Haan, Partner, Co-Head Private Infrastructure Asia-Pacific, Partners Group, states: “We continue to believe the Australian renewable energy sector is benefiting from a transformative trend, with a significant amount of coal-fired generation retirements expected in the coming decade. Investing into a project such as Murra Warra I, where we can enter during the construction phase and successfully deliver the project through to its operation phase, is consistent with our ‘building core’ strategy in infrastructure and is Partners Group’s fourth major wind farm investment in Australia since 2015. The project brings additional scale and diversification to our portfolio and is one of the highest-quality wind resource sites in Australia’s National Electricity Market.”

The Murra Warra I investment follows Partners Group’s recent AUD 700 million commitment to develop Grassroots Renewable Energy Platform (“Grassroots”), a large-scale platform that aims to construct over 1.3GW of new wind power, solar power and battery storage assets across Australia within the next four years. Once operational, Grassroots is expected to become a category leader in the Australian power market as one of the country’s largest independent power producers in the renewables sector. Also in the Australian renewable energy sector, in June 2015, Partners Group invested into the development of the 240MW Ararat Wind Farm, which started supplying clean energy to the Australian national grid in mid-2017.

Andrew Kwok, Senior Vice President, Co-Head Private Infrastructure Asia-Pacific, Partners Group, comments: “Murra Warra I and Grassroots add to our substantial portfolio of renewable energy assets across the Asia-Pacific region. Since 2014, we have delivered over 900MW of renewable energy generation capacity in the region, with another 490MW currently under construction. In order to ensure such large-scale projects are completed on time and within budget, experience has taught us that it is important to focus on procuring construction items with long lead times in a timely manner, having the right in-house expertise to identify and manage risks and partnering with counterparties who bring the right capabilities and experience to deliver a project.”

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EagleClaw Midstream Announces Acquisition of Caprock Midstream

Blackstone

Strategic acquisition reinforces EagleClaw’s best-in-class service offering by adding complementary natural gas gathering, processing, and compression assets in close proximity to existing system; expanding EagleClaw’s offering to crude and water services; and adding new customers, volumes, and high-quality dedicated acreage

Midland & Houston, TX, September 5, 2018 – EagleClaw Midstream (“EagleClaw”), a portfolio company of Blackstone Energy Partners, announced today that it has entered into binding agreements to acquire Caprock Midstream Holdings (“Caprock”) from Energy Spectrum Capital and Caprock Midstream Management for $950 million plus pre-closing adjustments.  The all-cash transaction is expected to close in 2018 and will be funded with equity and committed debt financing from Barclays Plc.  EagleClaw’s current executive leadership team will lead the combined business, which shall operate under the EagleClaw name, following the closing of the transaction.

EagleClaw is the largest privately held midstream operator in the Permian’s Delaware Basin in West Texas.  The company’s assets are strategically located in Reeves, Ward, and Culberson counties and include more than 550 miles of natural gas and natural gas liquids (“NGL”) pipelines and 720 million cubic feet per day (“MMcf/d”) of processing capacity.  EagleClaw serves many of the region’s leading oil and gas producers, who have committed long-term dedications of natural gas volumes to the company from over 310,000 acres.  Since being acquired by Blackstone last year, EagleClaw has more than doubled its processed volumes and system capacity, increased the amount of acreage under long-term dedication by over 55%, and entered into partnerships with Kinder Morgan and Targa to improve its customers’ takeaway options for natural gas and NGLs.

Caprock is a privately held midstream operator that provides gathering, processing, and disposal services for natural gas, crude oil, and produced water to producers in the Delaware Basin.  Caprock’s assets are strategically located in the core of the southern Delaware Basin in Reeves and Ward counties.  Caprock currently operates two natural gas processing facilities and will have 540 MMcf/d of processing capacity pro forma for the completion of two additional facilities currently under construction.  Caprock also operates almost 300 miles of gas, crude, natural gas liquids, and water gathering pipelines; 23 MBbls of crude storage (expected to grow to over 60 MBbls within the next twelve months); and water disposal facilities with capacity of 210 MBpd (with an additional 375 MBpd of additional capacity planned and permitted).  Caprock serves several highly active producers, which have made long-term dedications for natural gas, crude and / or water-related services totaling over 115,000 acres.

The acquisition of Caprock is complementary to EagleClaw and further solidifies the company’s position as the midstream partner of choice for producers in the Delaware Basin.  Pro forma for the closing of the transaction, EagleClaw will operate close to 850 miles of natural gas, natural gas liquids, crude and water gathering pipelines; 1.3 billion cubic feet per day of processing capacity; and crude and water storage facilities, with over 425,000 acres under long-term dedication for midstream services.  The acquisition of Caprock expands EagleClaw beyond natural gas gathering and processing related services into crude- and water-related services, providing opportunities for EagleClaw to offer a broad suite of midstream services to both existing and new customers.  The transaction also benefits EagleClaw’s and Caprock’s customers by improving flow assurance and reliability and providing additional flexibility for customers’ natural gas, crude, and NGL takeaway.

The transaction has been structured such that the existing Caprock operating company (which will be renamed EagleClaw Midstream II) will be a sister-entity to the existing EagleClaw operating business (EagleClaw Midstream Ventures LLC) following the closing, under common ownership and management by the same corporate parent.  The acquirer under the transaction documents and borrower of the acquisition financing will be a newly-established partnership, completely distinct from the existing EagleClaw credit group.  All field personnel of Caprock will be offered opportunities to remain with the company following the closing.  The Caprock water assets will be operated under a services agreement with Waterfield, a Blackstone-backed partnership focused on long-term full-cycle water solutions for upstream companies in the Permian Basin.

EagleClaw CEO Perspective

“We are delighted to welcome Caprock’s customers and their employees into the EagleClaw team,” said Bob Milam, EagleClaw’s founder and CEO.  “I have known and respected Mike Forbau, Caprock’s co-founder and CEO, for over 20 years.  We look forward to building on the great footprint that Mike and the Caprock team have assembled to date and providing Caprock’s customers with best-in-class service consistent with our record of safe and reliable performance.”  Jamie Welch, EagleClaw’s President and CFO, added, “Following our recent announcement of the Permian Highway Pipeline in partnership with Kinder Morgan, the acquisition of Caprock is another exciting chapter in the continued growth story of EagleClaw.  This transaction expands our business in every aspect, from asset footprint, to customer diversity, to breadth of service offering, while remaining true to EagleClaw’s core mission of providing customer-focused midstream services in the Permian basin.”

From Blackstone Energy Partners

“As investors across the energy value chain, with extensive holdings of upstream and midstream businesses, we have firsthand appreciation for the critical nature of EagleClaw’s services, the importance of safe and reliable operations, and the mutually beneficial relationship with the company’s producer customers,” said David Foley, CEO of Blackstone Energy Partners.  “We look forward to serving Caprock’s customers under the EagleClaw platform and continuing to provide midstream services to address the rapidly growing needs of Permian producers.”  Eric Liaw, Senior Managing Director at Blackstone, added, “We acquired EagleClaw with a vision of growing the business into a major, fully-integrated midstream player, delivering comprehensive value-added services to Permian Basin producers.  Following our partnerships with Targa on the Grand Prix JV pipeline and with Kinder Morgan on the Permian Highway Pipeline, the acquisition of Caprock further broadens EagleClaw’s business and enhances the company’s value to its customers.”

From Caprock

“Caprock was formed with the intention of providing producers with a focused service partner in a high growth basin. We have enjoyed working with our key customers to facilitate the development of the Delaware Basin, a world class resource. We are proud of the work our team has done from tying-in the first exploratory wells on this acreage to building infrastructure to enable our customer’s transition to pad development,” stated Mike Forbau, CEO of Caprock.  “As the basin transitions to a larger scale of development, we believe the capital intensity of a large private equity sponsor such as Blackstone will be a great addition to the Caprock business,” added Sanjay Bishnoi, CFO of Caprock.  “The Caprock system and the EagleClaw system share a lot of geographical and operational synergy,”  stated David Ferer, COO of Caprock.  “We firmly believe the EagleClaw team will integrate the two systems to provide its combined customers with greater optionality around gas and product takeaway, in-field operational flexibility, and redundancy.”

From Energy Spectrum Capital

“Caprock exemplifies the role that Energy Spectrum plays in the midstream industry.  By backing highly qualified teams, we allow capital to flow to well thought-out business plans.  Caprock has succeeded in putting early-stage capital to work to develop critical infrastructure for upstream producers to delineate a key new basin in the United States.  We are proud of our partnership with Mike and his team and believe that the integration with EagleClaw will be a strong development for Caprock’s customers,” said Tom Whitener, President of Energy Spectrum Capital.

Jefferies LLC acted as Blackstone and EagleClaw’s financial advisor in connection with the transaction.  Akin Gump served as legal counsel to Blackstone and EagleClaw.  Evercore and Barclays acted as financial advisors to Caprock and Energy Spectrum. Vinson & Elkins LLP and Orrick, Herrington and Sutcliffe LLP acted as legal counsel to Caprock and Energy Spectrum.

About EagleClaw Midstream Ventures, LLC
Headquartered in Midland and with a core presence in Houston, EagleClaw is focused on rapid response to the midstream infrastructure requirements of Permian producers.  The Company provides comprehensive gathering, transportation, compression, processing and treating services necessary to bring natural gas, natural gas liquids and crude oil to market.  EagleClaw is also partners with Targa on the Grand Prix Pipeline Project and with Kinder Morgan on the Permian Highway Pipeline Project.  EagleClaw has long term dedications for over 300,000 acres from a broad number of successful and active producers in the Delaware Basin.  For more information, please visit www.eagleclawmidstream.com

About Blackstone Energy Partners
Blackstone Energy Partners is Blackstone’s energy-focused private equity business, with a successful record built on our industry expertise and partnerships with exceptional management teams.  Blackstone has invested over $15 billion of equity globally across a broad range of sectors within the energy industry.  Blackstone (NYSE: BX) is one of the world’s leading investment firms.  Our asset management businesses, with approximately $440 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis.  Further information is available at www.blackstone.com.

About Caprock Midstream
Headquartered in Humble, TX, Caprock was founded in 2015 by Mike Forbau, David Ferer, Sanjay Bishnoi, John Phillips and Darin Aucoin.  In partnership with Energy Spectrum Partners VII, LP Caprock began developing assets in the Delaware Basin in 2016.  Caprock has developed gas gathering, gas processing, oil gathering and water gathering and disposal assets in the Delaware basin.

About Energy Spectrum Capital
Founded in 1995, Energy Spectrum Capital (“Energy Spectrum”) is a Dallas, Texas-based private equity firm focused on partnering with premier management teams that are pursuing compelling opportunities in the midstream sector of the North American oil and gas industry.


Contacts
EagleClaw
Jamie Welch
(713) 621-7300
jwelch@eagleclawmidstream.com

Blackstone Media Relations
Paula Chirhart
(212) 583-5011
Paula.chirhart@blackstone.com

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Genstar Capital Announces Completion of Drilling Info Holdings, Inc. Acquisition

SAN FRANCISCO, August 2, 2018 – Genstar Capital, a leading private equity firm focused on investments in targeted segments of the software, industrial technology, healthcare, and financial services industries, today announced that it has completed the previously announced acquisition of Drilling Info Holdings, Inc.  Insight Venture Partners will retain a significant minority stake.

About Drillinginfo

Drillinginfo delivers business-critical insights to the energy, power, and commodities markets. Its state-of-the-art SaaS platform offers sophisticated technology, powerful analytics, and industry-leading data. Drillinginfo’s solutions deliver value across upstream, midstream and downstream markets, empowering exploration and production (E&P), oilfield services, midstream, utilities, trading and risk, and capital markets companies to be more collaborative, efficient, and competitive. Drillinginfo delivers actionable intelligence over mobile, web, and desktop to analyze and reduce risk, conduct competitive benchmarking, and uncover market insights. Drillinginfo serves over 3,500 companies globally from its Austin, Texas, headquarters and has more than 675 employees. For more information visit drillinginfo.com.

About Genstar Capital

Genstar Capital (www.gencap.com) is a leading private equity firm that has been actively investing in high quality companies for 30 years.  Based in San Francisco, Genstar works in partnership with its management teams and its network of strategic advisors to transform its portfolio companies into industry-leading businesses. Genstar currently has approximately $10 billion of assets under management and targets investments focused on targeted segments of the software, industrial technology, healthcare, and financial services industries.

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MEDIA INQUIRIES

Contact: Chris Tofalli
Chris Tofalli Public Relations
914-834-4334

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ARDIAN agrees sale of its minority stake in Encevo S.A.

Ardian

Luxembourg, July 31st, 2018 – Ardian, a world-leading private investment house, today announces that it has agreed to sell its minority stake in Encevo S.A., a leading utility company, to China Southern Power Grid International (HK) (“CSGI HK”), wholly owned by China Southern Power Grid (“CSG”), a state-owned power grid company in China that engages in power transmission, distribution and supply business.
Encevo, which is based in Luxembourg, operates in several different energy business fields through its two subsidiaries, Creos and Enovos Luxembourg. Creos manages electricity and gas grids while Enovos Luxembourg is responsible for the sale of energy to a diversified portfolio of clients in Luxembourg and Germany. The company also holds interests in energy production assets, most notably in the renewable energy sector (wind, biogas, solar and hydro).
In July 2012, Ardian, alongside co-investors, acquired a minority stake in Encevo (formerly Enovos International) from Arcelor Mittal. It then subsequently acquired a further stake in 2015 from E.on and RWE.
Since Ardian’s investment, it has worked alongside the public shareholders of the company to help Encevo adapt its strategy and organization to reflect the new shape of European energy markets. A new strategic plan has been implemented, which included a €1bn investment program. In embracing the transition of energy markets, Encevo has increased investments in renewables and energy services, particularly in Luxembourg and Germany. Looking ahead, Encevo is interested in industrial partnerships, such as with CSG, which is based in Guangzhou.
Mathias Burghardt, member of the Executive Committee of Ardian and Head of Infrastructure, said: “Ardian developed a close partnership with the State of Luxembourg at an important moment for Encevo group. The two partners successfully developed a new vision for Encevo, which places the group at the forefront of Europe’s new energy landscape.”
Benoît Gaillochet, Managing Director Ardian Infrastructure, added: “We thank the management and the employees of Encevo as well as the Luxembourg shareholders for this fruitful collaboration. We truly believe that CSG will be an excellent industrial partner for Encevo as it looks to realize its growth ambitions.”
Hua Yang, president of CSGI HK, said: “We are delighted that we have entered into an agreement to acquire a minority stake in Encevo. CSG is a long-term industrial investor in Europe. We look forward to establishing cooperative relationships with Encevo management and Luxembourg shareholders, and we are committed to support Encevo’s development towards its strategic goals, as well as the development of its energy services for customers.”

ABOUT ARDIAN

Ardian is a world-leading private investment house with assets of US$71bn managed or advised in Europe, the Americas and Asia. The company is majority-owned by its employees. It keeps entrepreneurship at its heart and focuses on delivering excellent investment performance to its global investor base.
Through its commitment to shared outcomes for all stakeholders, Ardian’s activities fuel individual, corporate and economic growth around the world.
Holding close its core values of excellence, loyalty and entrepreneurship, Ardian maintains a truly global network, with more than 500 employees working from fourteen offices across Europe (Frankfurt, Jersey, London, Luxembourg, Madrid, Milan, Paris and Zurich), the Americas (New York, San Francisco and Santiago) and Asia (Beijing, Singapore, Tokyo). It manages funds on behalf of around 700 clients through five pillars of investment expertise: Funds of Funds, Direct Funds, Infrastructure, Real Estate and Private Debt.
Ardian on Twitter @Ardian

ABOUT CSG

CSG is a global leading utility company. In China, CSG engages in the investment, construction and operation of power networks in Guangdong, Guangxi, Yunnan, Guizhou and Hainan provinces. Outside China, CSG holds investments in the energy sector in Chile, Malaysia, Vietnam and Laos. CSG is promoting green and coordinated development of power grid and ensures harmony between the power grid and the environment.

INVOLVED PARTIES

ARDIAN
M&A sell side: Natixis
Legal: Arendt & Medernach
Accounting & Tax: EY
Markets: BCG
Regulation: NERA
Technical: E-BridgeCSGI
M&A sell side: JP Morgan, Deloitte
Legal: Clifford Chance
Accounting & Tax: Deloitte
Markets and Regulation: Roland Berger
Technical: Pöyry

PRESS CONTACTS

ARDIAN
Headland
TOM JAMES
Tel: +44 207 3675 240
tjames@headlandconsultancy.co.uk

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KKR and Williams to Acquire Discovery Midstream for $1.2 Billion

KKR

HOUSTON–(BUSINESS WIRE)– KKR today announced that it has entered into an agreement to acquire Discovery Midstream (“Discovery”) from TPG Growth for approximately $1.2 billion. KKR is acquiring the provider of natural gas and oil gathering and natural gas processing services company through a newly formed joint venture with Williams(NYSE:WMB). The transaction is being funded primarily through KKR’s energy and infrastructure funds.

Founded in 2015 and based in Dallas, Texas, Discovery operates in the southern portion of Colorado’s Denver-Julesburg Basin (“DJ Basin”). The company’s infrastructure and related facilities are strategically located across more than 250,000 dedicated acres primarily in Weld and Adams counties. The Discovery system includes both natural gas and crude oil gathering pipelines, cryogenic gas processing, liquids handling and crude oil storage. The Discovery assets include a 60 million cubic feet per day (MMcf/d) gas processing plant with an additional 200 MMcf/d plant that is fully permitted and under construction. It is expected to be in service by the end of 2018.

“We are excited to partner with Williams in the acquisition of Discovery,” said James Cunningham, Managing Director on KKR’s Energy and Infrastructure team. “The Discovery team has built a strong gathering and processing infrastructure footprint to service growing production in the DJ Basin and Williams is well known as a safe and reliable operator of large-scale G&P systems in the Rockies. This fits well with our long-term focus on partnering with top-tier operators who prioritize operational excellence and stakeholder engagement when working on premier North American midstream infrastructure assets. We look forward to supporting the continued growth of Discovery alongside management and Williams for many years to come.”

Upon close, which is subject to customary closing conditions and expected to occur in the third quarter of 2018, Discovery will be led by its existing management team and Williams’ initial economic contribution and ownership will be 40 percent of the purchase price, while KKR’s initial economic contribution and ownership will be 60 percent of the purchase price. Williams will be the operator of Discovery and will hold a majority of governance voting rights. Williams has committed to fund additional capital as required to bring its economic ownership to 50/50.

“We are pleased to partner with KKR on this outstanding acquisition opportunity,” said Alan Armstrong, Williams’ President and CEO. “As one of the premiere providers of large-scale energy infrastructure with operations across the natural gas value chain, we look forward to serving the Discovery customers in this growing basin with our industry-leading midstream services and working with KKR, whose energy and infrastructure investments and strategic partnerships are well-known and highly regarded.”

“We’re thrilled to be partnering with KKR and Williams, two leading institutions that will further support our growth in the DJ Basin. We look forward to continuing to safely deliver for our customers and the community alongside our new partners,” said Discovery CEO Steven Meisel.

Simmons acted as the lead financial adviser to KKR and Williams and Simpson Thacher & Bartlett served as legal adviser to KKR.

About KKR

KKR is a leading global investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate, credit and, with its strategic partners, hedge funds. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation with KKR portfolio companies. KKR invests its own capital alongside its partners’ capital and provides financing solutions and investment opportunities through its capital markets business. References to KKR’s investments may include the activities of its sponsored funds. For additional information about KKR & Co. Inc.(NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR Co.

About Discovery Midstream

Based in Dallas, Discovery is a full-service midstream company focused on maximizing value and providing outstanding service to producers. Discovery’s management team has more than 100 years of experience in developing grassroots projects, optimizing assets and providing related services in the major producing basins in the United States. For more information, please visit www.discoverymidstream.com.

About Williams & Williams Partners

Williams (NYSE: WMB) is a premier provider of large-scale infrastructure connecting U.S. natural gas and natural gas products to growing demand for cleaner fuel and feedstocks. Headquartered in Tulsa, Okla., Williams owns approximately 74 percent of Williams Partners L.P. (NYSE: WPZ). Williams Partners is an industry-leading, large-cap master limited partnership with operations across the natural gas value chain including gathering, processing and interstate transportation of natural gas and natural gas liquids. With major positions in top U.S. supply basins, Williams Partners owns and operates more than 33,000 miles of pipelines system wide – including the nation’s largest volume and fastest growing pipeline – providing natural gas for clean-power generation, heating and industrial use. Williams Partners’ operations touch approximately 30 percent of U.S. natural gas. www.williams.com

About TPG Growth

TPG Growth is the middle market and growth equity investment platform of TPG, the global alternative asset firm. With approximately $13.2 billion of assets under management, TPG Growth targets investments in a broad range of industries and geographies. TPG Growth has the deep sector knowledge, operational resources, and global experience to drive value creation, and help companies reach their full potential. The firm is backed by the resources of TPG, which has approximately $84 billion of assets under management. For more information, visit www.tpg.com.

Media:
KKR
Kristi Huller or Cara Major, 212-750-8300
media@kkr.com

Source: KKR

News Provided by Acquire Media

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Venado Oil & Gas and KKR Acquire Eagle Ford Oil Assets

KKR

AUSTIN, Texas & HOUSTON–(BUSINESS WIRE)– Today, affiliates of Venado Oil and Gas, LLC (“Venado”) and KKR announced that they have closed on an acquisition of operated assets located in the Eagle Ford oil window of South Texas. The assets acquired by Venado and KKR include current oil production from 22 producing wells and significant future resource development potential across approximately 23,000 net acres immediately adjacent to existing operated assets held by Venado and KKR in Atascosa and Frio counties. During the second quarter of 2018, the assets produced approximately 4,500 net barrels of oil equivalent per day (74% oil, 11% natural gas and 15% NGLs).

Venado CEO Scott Garrick stated, “These assets are a natural addition to our existing operated assets and considerably increase our future drilling inventory. This acquisition is a continuation of our strategy begun in late 2016 to consolidate proven assets in the Eagle Ford. This is a prime example of the Venado and KKR partnership using our extensive experience in the Eagle Ford to capture additional high-quality assets, where we have identified multiple opportunities to enhance long-term value for our stakeholders.”

David Rockecharlie, Member and Head of Energy Real Assets for KKR, commented, “This investment marks our third asset acquisition in partnership with the Venado team in less than eighteen months, underlining our commitment to capitalizing on the attractive market opportunity we see in the U.S. oil and gas sector at this point in the cycle. We continue to employ our differentiated strategy, which seeks to generate strong investment returns and free cash flow through superior technical and operational execution, as well as disciplined financial and risk management.”

As of the closing date, the Venado and KKR partnership manages an asset position comprising approximately 136,000 net acres producing approximately 43,000 barrels of oil equivalent per day from the Eagle Ford trend of South Texas.

The Venado and KKR asset partnership is principally funded by KKR’s Energy Income and Growth Fund I (“EIGF”). KKR manages a portfolio of oil and gas assets in numerous unconventional and conventional resource areas across the United States and has made thirteen investments in the Eagle Ford to date.

About Venado Oil and Gas

Venado Oil & Gas is a private company focused on the acquisition and exploitation of upstream oil and gas assets. Headquartered in Austin, Texas, its primary objective is to build and operate a portfolio of producing oil and gas wells and drilling locations in the Eagle Ford Shale. For additional information about Venado Oil & Gas, please visit www.vogllc.com.

About KKR

KKR is a leading global investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate and credit, with strategic manager partnerships that manage hedge funds. KKR aims to generate attractive investment returns for its fund investors by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation with KKR portfolio companies. KKR invests its own capital alongside the capital it manages for fund investors and provides financing solutions and investment opportunities through its capital markets business. References to KKR’s investments may include the activities of its sponsored funds. For additional information about KKR & Co. Inc. (NYSE:KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

Media:
KKR
Kristi Huller or Cara Kleiman Major, + 1-212-750-8300
media@kkr.com

Source: KKR & Co. Inc.

 

 

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Enegia becomes EnerKey-driven energy management expert – Gasum buys Enegia’s market services

Enegia, Finland’s leading independent energy expert, is to sell its energy market services business to Gasum, the leading gas sector player in the Nordic countries. The acquisition will intensify Enegia’s strategy in the strongly growing EnerKey energy management services.

Enegia Group Oy signed an agreement to sell its energy market services business to Gasum Ltd. The transaction includes the capital stocks of Enegia Consulting Oy, Enegia Portfolio Services Oy and intStream Oy. Energy market services will continue its business and service provision to current customers. The some 35 professionals employed by energy market services will transfer to Gasum’s service on completion of the transaction. The transaction is subject to the approval of the authorities and is expected to complete in early fall 2018

‟With the transaction Enegia will become a focused EnerKey-driven expert in energy management and the reorganization of Enegia’s strategy started last year has now been completed We’re happy that Gasum as the new energy market services owner will strengthen the further development and expansion of this business as well,” says Enegia Group Oy Managing Director Kalle Ahlstedt.

“The EnerKey energy management system is the undisputed market leader in property energy data management in Finland. There is also growing international potential for these scaleable services, which creates excellent preconditions for future growth and success,” says Ilari Anttila, who became CEO of Enegia Energy Management Services Oy in May.

‟As the new owner, Gasum will enable the development of energy market services to be taken to a new level drawing on the diverse excellence of both companies in the energy industry,” notes Vice President, Enegia’s Energy Market Services Mikko Askolin.

‟The energy sector and gas market are changing rapidly. The competencies of Enegia’s experts will diversify and strengthen Gasum’s service mix. The acquisition will enable us to offer more comprehensive services to our current customers and lead the way in the energy sector,” says Gasum CEO Johanna Lamminen

For further information please contact:

Kalle Ahlstedt, Managing Director, Enegia Group Oy
Phone: +358 50 453 3507, firstname.surname(a)enegia.com

Mikko Askolin, Vice President, Energy Market Services
Phone: +358 40 841 9462, firstname.surname(a)enegia.com

Jouni Haikarainen, Senior Vice President, Natural Gas, Gasum Ltd
Phone: +358 40 709 5690, firstname.surname(a)gasum.com

Enegia is one of the leading Nordic independent energy expert organizations for the energy industry. Over half of the 100 largest Finnish companies use Enegia’s services, and Enegia Group’s net sales in 2017 were €119.7 million. Enegia’s electricity trade volume is 15 TWh, corresponding to approximately one quarter of Finland’s electricity use. Enegia’s EnerKey is the leading energy data and energy process management system in the Nordic countries. The system is used by approximately 300 organizations to manage energy consumption information from 75,000 meters in 15,000 properties. Enegia is majority-owned by the Finnish private equity firm Vaaka Partners Oy. www.enegia.com

 The energy company Gasum is a Nordic gas sector expert. Together with its partners, Gasum is building a bridge towards a carbon-neutral society on land and at sea. Gasum imports natural gas to Finland and promotes the circular economy by processing waste and producing biogas and recycled nutrients in Finland and Sweden. The company offers energy for heat and power production, industry as well as road and maritime transport. Gasum is the leading supplier of biogas in the Nordic countries. The company has a gas filling station network that also serves heavy-duty vehicles. The Gasum subsidiary Skangas is the leading liquefied natural gas (LNG) player in the Nordic market. The company continues to strengthen the position and infrastructure of LNG and supplies LNG to maritime transport, industry and heavy-duty vehicles in Finland, Sweden and Norway. www.gasum.com

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InfraRed acquires 40% stake in 228MW Australian onshore wind farm

InfraRed Capital Partners

18 Jun 2018

InfraRed Capital Partners has acquired a 40% stake in the Lal Lal Wind Farm, a 228MW greenfield onshore wind farm project in Australia. The investment makes InfraRed one of the largest shareholders in a consortium of investors.

Lal Lal will comprise 60 x 3.8MW Vestas turbines across two sites near Ballarat in the state of Victoria. Construction has started and the sites are expected to be fully operational in late 2019. The project will benefit from revenue offtake with two Australian industrials. Once fully operational, Lal Lal is expected to generate over 650GWh per annum, enough energy to power over 92,000 households.

Edward Hunt, Investment Director, Infrastructure, InfraRed states: “Lal Lal is an attractive opportunity to invest in a high-quality onshore project alongside experienced partners. It marks an important milestone for InfraRed’s global energy platform as we will be able to bring our experience in greenfield energy projects across the Americas and Europe to support the generation of clean energy in Australia.”

Sebastien Pochon, Director, Infrastructure, InfraRed adds: “InfraRed manages over 2GW of capacity worldwide. We have been investing in Australia since 2009 and are delighted to be expanding our offer here. We are proud of our role in facilitating global renewables growth and actively continue to pursue opportunities in low carbon generation, grid services and energy storage.”

 

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