Kalnin Ventures LLC, backed by Thailand-based Banpu Pcl, said May 16 it entered its fourth acquisition agreement in the Marcellus Shale.
For $16.25 million, Kalnin agreed to acquire a nonoperating portfolio in the northeast portion of the Marcellus in Wyoming County, Pa., from Zena Energy LLC, a subsidiary of LSB Industries Inc. The purchase is comprised of interests in 34 wells with net production of about 6 million cubic feet per day (MMcf/d).
Other terms of the deal include 33 Bcf of 1P reserves and nearly 1,000 net contiguous acres.
Upon closing of its fourth acquisition, Kalnin will hold an interest in 241 active wells in the Marcellus, plus six additional wells waiting on completion, with more than 50 MMcf/d of net production.
The acquisition follows Kalnin's $16 million purchase of nonoperating assets in the Marcellus from Radler 2000 LP, an affiliate of Tug Hill Inc., in March. In addition, the company also completed a $63 million Marcellus acquisition from Chief Exploration and Development LLC in January.
"We continue to seek—and find—attractive opportunities and operating partners," Christopher Kalnin, managing director and founder of Kalnin Ventures, said in a statement. "Looking toward the future, we will continue to operate in a space where we utilize technology and no-operator management to help improve operator performance and drive attractive risk-adjusted returns for our investors."
Kalnin is backed by investors with equity fund commitments of $500 million within its oil and gas fund BKV Oil and Gas Capital Partners LP, according to the release.