Pegasus Resources, LLC (Pegasus), a mineral and royalty company based in Fort Worth, Texas, announced today that it has secured an additional $300 million equity commitment from EnCap Investments L.P. (EnCap), bringing EnCap’s total commitment to $600 million.
Pegasus received an initial commitment of $300 million from EnCap in November 2017. The company is focused on the acquisition and management of mineral and royalty properties in the core of the Delaware and Midland Basins.
“Our goal at Pegasus has always been to create long-term value by building a portfolio of mineral and royalty interests with sustainable, multi-generational growth potential,” said Pegasus Chief Executive Officer George M. Young Jr. “EnCap has been an outstanding equity partner from the beginning and this additional capital allows us to continue to source best-in-class opportunities, under the premier operators, in the most prolific oil and gas basin in the world.”
“This second infusion of equity is a testament to our confidence in the Pegasus team and their overall development strategy,” said EnCap Co-Founder and Managing Partner David Miller. “We look forward to continuing our successful partnership and being part of the Pegasus growth story.”
Since 2017, Pegasus has assembled a team representing decades of experience in land, geology, and engineering, and has expanded its accounting and finance capabilities to manage its rapidly growing portfolio of producing properties. This multidisciplinary team allows Pegasus to develop broad basin studies, understand the unique geology and well economics in specific areas of interest, and properly manage its assets. Additionally, Pegasus continues its partnership with Tilden Capital, LLC. Tilden has a long track record of successfully sourcing and closing mineral and royalty acquisitions across various basins, and specifically the Permian Basin.
“We are pleased with the significant deal flow we continue to see and are confident in the mineral and royalty space as a whole,” said Mr. Young. “Our team has the capability to stay up-to-date on broad trends in the Permian Basin, which allows us to identify areas with solid well performance and the best potential for long-term upside.”
The Pegasus management team has worked together successfully in various ventures for over a decade. Pegasus is led by Chief Executive Officer George M. Young Jr., President and Chief Operating Officer Will O. Rodgers, and Chief Financial Officer Lynn Frank.
Source: Company Press Release