The Denver Business Journal is reporting that the management team of Denver’s FourPoint Energy has raised another fund of more than $800 million under LongPoint Minerals II LLC, to buy mineral royalties in major U.S oil and gas fields.
LongPoint Minerals II LLC has raised $802 million from investors in five states, according to a June 8 filing to the U.S Securities & Exchange Commission.
The executives behind LongPoint Minerals II include George Solich, Tad Herz and Kamil Tazi, all with FourPoint Energy, a oil and gas exploration company founded in 2014 by Solich. They declined to comment on what the LongPoint Minerals II money will be used for yet.
“Until we have all those funds closed, we’d rather not talk,” said Jenna Samek, spokeswoman for LongPoint Minerals.
The filing comes two years after a first LongPoint Minerals fund raised just over $800 million to acquire royalties, primarily from rightsholders in the Oklahoma oil and gas fields known as the Scoop and Stack, Western Anadarko and Mid-Continent areas, plus some in the Permian Basin of West Texas.
The company was able to attract investors including the Canada Pension Plan Investment Board’s CPPIB Credit Investments Inc. for that fund.
LongPoint Minerals closed more than 300 deals for rights connected to 50,000 acres in active oil fields.
It’s not clear who has invested in LongPoint Minerals II, or whether the company will seek acquire mineral rights from the same oil fields.
The LongPoint website says the company is looking to invest in acquiring royalties in the five most active oil and gas regions of the continental United States.
By Greg Avery – Reporter, Denver Business Journal