AVAD Energy Partners II LLC recently launched in pursuit of an acquire-and-exploit strategy of oil and gas properties across the U.S. with backing from partners of its successor.

The newly formed private oil and natural gas company said in an Aug. 27 release it had closed equity commitments from investment funds managed by Pearl Energy Investments and NGP Energy Capital Management. The amount of the commitments was not disclosed.

In the release, Dallas-based AVAD II said it will pursue an acquire-and-exploit strategy focused on creating value through “operational excellence with an agnostic view to commodity type or basin.”

Its successor, AVAD Energy Partners I LLC, successfully pursued a similar strategy, according to the company’s website.

AVAD I was founded in 2016 by John Davis, Tom Quigley and Crystal Blackstone, which had experience working together at several companies including Netherland, Sewell & Associates Inc. (NSAI), Hunt Petroleum Corp. and Alpine Gas Co. LLC. The following year, the company successfully raised $77.5 million of equity commitments from the same partners with Pearl acting as lead investor.

Davis and Quigley, who have worked together for over 30 years, have returned for the formation of AVAD II. Davis, who previously co-founded Alpine Gas Co., will serve as CEO of AVAD II while Quigley will serve as the company’s senior vice president of reservoir engineering. 

Joining Davis and Quigley as co-founders of AVAD II are Michael Krehel and Steven Mickey.

Together, the management of AVAD II have experience successfully evaluating, operating and monetizing a wide variety of asset types across the U.S. including conventional, unconventional, secondary recovery, coalbed methane and shallow offshore, the company website said.

“Our team has the rare combination of accurate underwriting and operational experience with a successful track record of realizing excellent returns for our capital providers, even in downward commodity price cycles, resulting in our strong capital partnerships over the past 17 years via Alpine and AVAD I,” Davis said in a statement on Aug. 27.

Krehel, who joined AVAD I shortly after its inception, previously worked for Southwestern Energy Co. He will serve as vice president of operations for AVAD II.

Mickey joins AVAD II after working in several different areas of the oil and gas industry with Goldman Sachs, Denham Capital Management, and a large private equity backed E&P focused on the Eagle Ford. He will serve as vice president of business development for the company.

“We look forward to capitalizing on the current market environment and continuing to deliver superior risk-adjusted returns to our investors,” Davis added in his statement.

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