New Permian Basin E&P Midway Energy Partners LLC has closed an equity commitment from investment funds managed by Post Oak Energy Capital to acquire and exploit a pipeline of opportunities throughout the play, the company said Feb. 7. The size of the commitment wasn’t disclosed.
Midway Energy, based in Midland, Texas, was founded in 2023 by CEO Jack Walter, COO Brady Adams and Jordan Cox, senior vice president of engineering. Each has successfully participated in building Permian private equity-backed ventures and public companies.
Walter said Midway Energy intends to build a best-class operator and said Post Oak has an outstanding track record of value creation in the energy industry.
“We are encouraged by the opportunity set in the Permian Basin and look forward to leveraging our technical and operational expertise, along with Post Oak’s financial acumen to maximize shareholder value through responsible development-oriented projects,” he said.
Adams said Midway Energy has built a reliable network of service providers that will allow the company to develop projects “responsibly and efficiently.” The company looks “forward to kicking off our development program in the near future.”
Ryan Walsh, Post Oak director, said growing tailwinds of consolidation, coupled with continued industry-wide capital constraints, “are generating bespoke opportunities for nimble companies such as Midway who can expeditiously identify and deploy ready capital into otherwise overlooked or stranded inventory.”
Recommended Reading
Enterprise Increasing Permian NatGas Production
2024-04-03 - Enterprise Products Partners began service on two natural gas plants: the Leonidas in the Midland Basin and the Mentone 3 in the Delaware Basin, each with a capacity to process 300 MMcf/d of natural gas and 40,000 bbl/d of NGLs.
Turning Down the Volumes: EQT Latest E&P to Retreat from Painful NatGas Prices
2024-03-05 - Despite moves by EQT, Chesapeake and other gassy E&Ps, natural gas prices will likely remain in a funk for at least the next quarter, analysts said.
Range Resources Plans Flat Production Target in 2024
2024-02-23 - Gas producer Range Resources is focusing on system flexibility to respond to market trends.
Antero Poised to Benefit from Second Wave of LNG
2024-02-20 - Despite the U.S. Department of Energy’s recent pause on LNG export permits, Antero foresees LNG market growth for the rest of the decade—and plans to deliver.
EIA: Blame Associated Gas Volumes for Sticky Low NatGas Prices
2024-03-14 - Low natural gas prices are forcing U.S. producers to finally pump the brakes on what has been record production. But the pullback in drilling will have muted effects on a market already glutted with too much gas, federal experts say.