Kimbell Royalty Partners, LP agreed to acquire oil and gas mineral and royalty interests in Delaware, Midland and Mid-Continent for $455 million.
August 02, 2023
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Kimbell Royalty Partners, LP (NYSE:KRP) agreed to acquire oil and gas mineral and royalty interests in Delaware, Midland and Mid-Continent for $455 million on August 2, 2023. The transaction is subject to purchase price adjustments. Kimbell intends to fund the purchase price through a private placement of 6.00% Series A Cumulative Convertible Preferred Units to fund managed by affiliates of Apollo (NYSE: APO) and borrowings under the Company's $400 million revolving credit facility.
The final mix of funding will be determined at closing. The Board of Directors of Kimbell's general partner and the governing body of the Seller have each approved the Acquisition, which is expected to close in the third quarter of 2023, subject to customary closing conditions. The effective date of the Acquisition is expected to be June 1, 2023.
Citigroup Inc. (NYSE:C) and Truist Securities, Inc.served as co-financial advisors and White & Case LLP and Kelly Hart & Hallman LLP acted as legal counsel to Kimbell. RBC Capital Markets, LLC served as exclusive financial advisor and Bracewell LLP served as legal advisor to Seller.
Kimbell Royalty Partners, LP is an oil and gas mineral and royalty company. It owns mineral and royalty interests in over 17 million gross acres in 28 states and in onshore basin in the continental United States, including ownership in more than 129,000 gross wells. Its properties include the Permian Basin, Mid-Continent, Appalachian, Eagle Ford, Bakken, Terryville/Cotton Valley/Haynesville, and DJ Basin/Rockies/Niobrara. The Permian Basin extends from southeastern New Mexico into West Texas. The Mid-Continent is an area containing fields in Arkansas, Kansas, Louisiana, New Mexico, Oklahoma, Nebraska and Texas and including the Granite Wash, Cleveland, and Mississippi Lime formations. The Appalachian Basin covers most of Pennsylvania, eastern Ohio, West Virginia, western Maryland, eastern Kentucky, central Tennessee, western Virginia, northwestern Georgia, and northern Alabama. The Williston Basin stretches through North Dakota, the northwest part of South Dakota, and eastern Montana.
KIMBELL ROYALTY PARTNERS, LP 
