April 19, 2021

Kayne Anderson Energy Funds Announces Merger of Anadarko Basin Portfolio Companies Under New Management, Closing of New Credit Facility and Additional Equity Funding

Kayne Anderson Energy Funds is pleased to announce the all-equity consolidation of Casillas Petroleum Resource Partners, LLC, Native Exploration Holdings, LLC and Acacia Exploration Partners, LLC to form 89 Energy Partners. Concurrent with the consolidation, 89 Energy Partners closed on a new syndicated credit facility and received additional equity contributions from energy private equity funds managed by Kayne Anderson.  Kayne’s energy private equity platform is also excited to announce a new partnership with the 89 Energy management team who will serve as new leadership for the business going forward.

89 Energy Partners successfully closed on a new, three-year credit facility with a majority of the existing lending syndicates of the predecessor companies and Wells Fargo Bank acting as sole Administrative Agent. Wells Fargo Securities, LLC served as Left Lead Arranger on the syndication of the credit facility.

This transaction further strengthens the financial and operating position of 89 Energy Partners allowing it to realize day-one structural cost reductions, leverage scale for additional savings opportunities and to pursue the prudent and efficient development of its high-quality drilling inventory. 89 Energy Partners’ operating footprint consists of approximately 80,000 net acres predominantly located in SCOOP, with approximately 21,000 net boe/d of production.  Additionally, 89 Energy Partners will manage the assets of Triumph Energy Partners, LLC (“Triumph”), which consists of approximately 15,000 net acres in STACK with approximately 6,500 net boe/d of production.

89 Energy Partners is headquartered in Oklahoma City, Oklahoma and led by a team that has been operating in the Anadarko Basin since 2016, demonstrating a proven track record of operational success and sub-surface expertise. Prior to 2016, the 89 Energy management team spent years in growth and development projects in the Anadarko Basin with previous employers. 

John-Mark Beaver, President and CEO at 89 Energy Partners, said, “We are pleased to announce the partnership with Kayne’s energy platform along with this transformative transaction that provides scale and strong financial footing for a one-of-a-kind, highly economic Mid-Continent asset.  89 Energy Partners is well positioned to evolve with the changing energy landscape and to thoughtfully develop our assets and pursue strategic, scalable opportunities.”

Ryan Sauer, Managing Director at Kayne Anderson Energy Funds, said, “We are excited about  partnering with a talented 89 Energy management team and will look to create substantial value in our current Mid-Continent asset through both the continued exploitation of the existing inventory and further consolidation within the Anadarko Basin.”

ABOUT 89 Energy

89 Energy is an Oklahoma City-based, private energy company focused on the acquisition and development of oil and gas assets throughout the Anadarko Basin.  To learn more, please visit 89energy.partners.

ABOUT Kayne Anderson Capital Advisors, L.P.

Kayne Anderson Capital Advisors, L.P., founded in 1984, is a leading alternative investment management firm focused on real estate, credit, infrastructure/energy, renewables, and growth equity. Kayne Anderson’s investment philosophy is to pursue niches, with an emphasis on cash flow, where our knowledge and sourcing advantages enable us to deliver above average, risk-adjusted investment returns. As responsible stewards of capital, Kayne Anderson’s philosophy extends to promoting responsible investment practices and sustainable business practices to create long-term value for our investors. Kayne Anderson manages over $30 billion in assets (as of 12/31/2020) for institutional investors, family offices, high net worth and retail clients and employs over 350 professionals in five core offices across the U.S. For more information, please visit www.kaynecapital.com.

CONTACT INFORMATION

89 Energy Partners, LLC

(405) 600-6040

info@89energy.partners

Please direct matters relating to Triumph to triumph@89energy.partners