Backed by Cresta Funds Management, Houston and Midland, Texas-based Blackbuck Resources designs, builds and operates water infrastructure for the oil and gas industry, focusing primarily on assets in the Permian Basin. (Source: Ginae McDonald / Shutterstock.com)
Blackbuck Resources LLC expanded its sustainability-linked term loan with Riverstone Credit Partners LLC to provide Blackbuck with additional liquidity, according to a press release on July 18.
The expansion will allow the company to execute on accretive growth in the Permian Basin, brought on by recently signed contracts around its Midland and Delaware basin platforms. The facility’s pricing will be adjusted based on Blackbuck’s adherence to sustainability performance targets determined by the company's internally defined set of key performance indicators.
The financing was first announced by Blackbuck on July 8, 2021, in a separate press release, which provided an initial commitment of $50 million. The deal's accordion feature allowed for the company to obtain additional liquidity for growth.
“The team has been working hard on executing our strategy to bring value to new customers adjacent to our existing platforms," Blackbuck president and CEO Justin Love said in the release. "We’re pleased to see this paying off as we continue to sign long-term contracts with new, high-quality customers.”
Prior to the transaction, Blackbuck received a second-party opinion from Sustainable Fitch, confirming the deal to be aligned with the LSTA Sustainability-linked Loan Principles five pillars. Foley & Lardner LLP served as legal advisor for Blackbuck, while Baker Botts served as legal advisor for Riverstone.
Based in New York City, Riverstone Credit Partners is a credit investment platform managed by Riverstone Holdings LLC, with a focus on energy, power, decarbonization and infrastructure.
“Riverstone has been a great partner to Blackbuck, and this expansion capital further aligns with our anticipated continued growth in a strong macro environment,” Love continued.
Recommended Reading
ONEOK Offers $7B in Notes to Fund EnLink, Medallion Midstream Deals
2024-09-11 - ONEOK intends to use the proceeds to fund its previously announced acquisition of Global Infrastructure Partners’ interest in midstream companies EnLink and Medallion.
Souki’s Saga: How Tellurian Escaped Ruin with ‘The Pause,’ $1.2B Exit
2024-09-11 - President Biden’s LNG pause in January suddenly made Tellurian Inc.’s LNG export permit more valuable. The company’s July sale marked the end of an eight-year saga—particularly the last 16 months, starting with when its co-founder lost his stock, ranch and yacht in a foreclosure.
BP Profit Falls On Weak Oil Prices, May Slow Share Buybacks
2024-10-30 - Despite a drop in profit due to weak oil prices, BP reported strong results from its U.S. shale segment and new momentum in the Gulf of Mexico.
Quantum’s VanLoh: New ‘Wave’ of Private Equity Investment Unlikely
2024-10-10 - Private equity titan Wil VanLoh, founder of Quantum Capital Group, shares his perspective on the dearth of oil and gas exploration, family office and private equity funding limitations and where M&A is headed next.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.