Spur, KKR form partnership to acquire Permian Northwest Shelf assets
Spur Energy Partners and KKR announced the formation of a partnership to acquire large, high-margin oil and gas production and development assets across the Lower 48. The companies also announced the signing of a definitive agreement to acquire the Permian Northwest Shelf assets of Percussion Petroleum. The acquisition includes interests in approximately 380 gross producing wells and 22,000 net acres situated in the core of the Yeso formation in Eddy & Lea Counties, New Mexico, as well as associated water and midstream assets. During the first quarter of 2019, the assets produced approximately 9,200 net barrels of oil equivalent per day. The acquisition is expected to close in the second quarter of 2019, subject to customary closing conditions. The Spur and KKR partnership will be funded by funds affiliated with KKR's Energy Real Assets strategy, which has invested approximately $4B in capital across 12 transactions since 2015 and manages a portfolio of oil and gas assets in numerous unconventional and conventional resource areas across the United States.