The Enduring transaction marks AEPB’s entry into the Permian Basin and the company intends to increase its position in the Permian through additional acquisitions over time. Enduring is currently using four rigs to develop this acreage and AEPB plans to increase operated drilling activity to 6-8 rigs by year end 2015. AEPB plans to drill up to approximately 2,500 gross wells and 1,750 net wells on its acreage over the next decade.
AEPB’s lead equity investor is The Energy and Minerals Group (EMG), with additional equity provided by First Reserve Corporation, AEPB’s management team and others. Goldman, Sachs and Co., Tudor, Pickering, Holt and Co. and Citi acted as financial advisors to AEPB. Financing for the acquisition was provided by Goldman Sachs Bank USA. Sullivan and Cromwell LLP, Commercial Law Group, P.C. and Porter Hedges LLP acted as legal advisors to AEPB. Jefferies LLC acted as financial advisor to Enduring and Latham and Watkins LLP acted as legal advisor to Enduring.
SOURCE American Energy Partners, LP