October 15, 2019
DENVER and HOUSTON, –– Bison Oil & Gas Partners II, LLC (“Bison”) today announced the closing of a $155 million term loan facility with Vӓrde Partners (“Vӓrde”), a leading global alternative investment firm. The proceeds will be used to fund Bison’s ongoing drilling program and the expansion of Bison’s rural asset base in the Denver-Julesburg Basin (the “DJ Basin”), to repay existing debt and to provide a distribution to Bison’s equity holders.
“We are grateful to establish this partnership with the Värde team, whom we have known for many years,” said Austin Akers, Bison’s Chief Executive Officer. “The DJ Basin continues to offer some of the best drilling economics in the country, and we are excited to use this capital to accelerate the development of our inventory of more than 300 permitted drilling locations across multiple proven benches of the Niobrara and Codell formations. This facility further cements our liquidity and provides additional ammunition to play offense during this opportunity-rich time in the oil and gas industry.”
Bison currently operates more than 20 wells across its approximately 50,000 net acre position in northeast Weld County, Colorado. Bison’s horizontal wells drilled to date, which cost approximately $5 million to drill and complete, have achieved average 30-day peak production rates of 125 barrels of oil equivalent per day, per thousand lateral feet (~80% oil). The wells have demonstrated very flat decline profiles, resulting in highly attractive single well economics at current commodity pricing.
“We are impressed with the Bison team and the results they have delivered to date, and we are pleased to provide this strategic capital to further advance development of these assets,” said Markus Specks, Managing Director and Head of Värde’s Houston office.
Värde Partners’ Houston-based energy team focuses on credit, equity and structured asset-level investments to provide tailored capital solutions to fit the needs of an evolving industry. Värde has invested nearly $1 billion in structured and asset-level energy solutions in the last three years.
About Bison Oil & Gas Partners II, LLC
Bison is an oil and gas exploration and production company located in Denver, Colorado. With equity capital from an investment fund managed by Carnelian Energy Capital Management, L.P. and Bison’s management team, Bison’s mission is to create value through responsible oil and gas development that ensures maximum benefits to all stakeholders by operating smartly, ethically, responsibly and on the cutting edge of technology. Please visit www.bisonog.com for more information.
About Vӓrde Partners, Inc.
Värde Partners is a $14 billion global alternative investment firm that employs a value-based approach to investing across a broad array of geographies, segments and asset types, including mortgages, corporate credit, real estate, specialty finance, energy, real assets and infrastructure. The firm sponsors and manages a family of private investment funds with a global investor base that includes foundations and endowments, pension plans, insurance companies, other institutional investors and private clients. Now in its third decade, Värde employs more than 300 people globally with regional headquarters in Minneapolis, London and Singapore. For more information about the firm, please visit www.varde.com.
Bison Oil & Gas Partners II, LLC
Värde Partners Communications and Public Affairs
June 26, 2018
-Bison Oil & Gas II, LLC (“Bison”) today announced the results of its two initial Castor wells (~6,800' laterals) in its Baja operations area. The Castor 8-59 19-24-12 had an IP90 of 67,462 BOE (750 BOE/D) and the Castor 8-59 19-24-16 had an IP90 of 60,892 BOE (677 BOE/D). Both wells are ~80% oil and 90% liquids. David Gonzales, President and COO of Bison, remarked that "the Castor Wells have helped to prove our initial thesis of bringing enhanced fracs to the Baja area to improve economic performance is indeed accurate. We look forward to the continued evaluation of our acreage in the Baja area with our XRL lateral Hunt Codell and Niobrara wells which should come online within a week."
June 1, 2018
-Bison Oil & Gas II, LLC (“Bison”) was featured in the Denver Business Journal in the article "Mining Big Data". The article highlights Bison's use of big data and algorithms to find opportunities in the oil business, its current assets, as well as the what a Bison III could look like in the future. Check out the article here
-Bison Oil & Gas II, LLC (“Bison”) today announced the spud of the first of two wells from its Castor pad in Weld County, CO which will be its first test wells in its newly established Baja operations area. The Castor 8-59 19-24-16 will test the Niobrara B interval and the Castor 8-59 19-24-12 will test the Niobrara C interval (the "test wells"). While these test wells are surrounded by productive Niobrara wells, these will be the first wells drilled with plug and perf enhanced well completions in the area.
December 1, 2017
August 1, 2017
-Bison Oil & Gas II, LLC (“Bison”) is pleased to announce the submission of over 90 permits to drill in the northeast extension of the Wattenburg - DJ Basin. Bison plans to commence appraisal drilling operations in late Q3 or early Q4 2017, drilling multiple Niobrara benches with enhanced stimulations on par with recent DJ Basin companies.
July 23, 2017
-Bison Oil & Gas Partners, LLC (“Bison”) today announced that results from the Bison 2BHZ well exceeded type curve expectations and came in slightly below its budgeted cost.
January 15, 2017
-Bison Oil & Gas Partners, LLC (“Bison”) today announced the formation of Bison Oil & Gas Partners II. In addition to Bison Oil & Gas I, Bison II will pursue acquisition and development opportunities in the Rocky Mountain region.
August 1, 2016
-Bison Oil & Gas Partners, LLC (“Bison” or the “Company”) today announced its submission of its first three drilling permits in Arapahoe County, CO. These permits, the Bison 15-16 1BHZ, Bison 15-16 1CHZ, and Bison 15-16 2BHZ, are located in the core of the Arapahoe County Niobrara extension and are surrounded by top performing Niobrara horizontal wells.
April 1, 2016
-Bison Oil & Gas Partners, LLC (“Bison” or the “Company”) is pleased to announce the acquisition of a substantial operated position in the core DJ Basin of Colorado. This acquisition includes numerous horizontal Niobrara PUD locations with attractive economics even in the current commodities price environment.
December 15, 2015
-Bison Oil & Gas Partners, LLC (“Bison” or the “Company”) today announced the closing of an equity commitment from Carnelian Energy Capital Management, L.P. (“Carnelian”) through Carnelian’s fund, Carnelian Energy Capital, L.P.
Bison, an independent oil and natural gas company headquartered in Denver, was formed to pursue an acquisition, exploitation and development drilling strategy in the Rocky Mountain region, with a primary focus in the Denver-Julesburg Basin of Colorado (the “DJ Basin”).
The founders of the Company, Austin Akers, Chief Executive Officer, and David Gonzales, President and Chief Operating Officer, have worked together in previous ventures, including at LINN Energy LLC, and most recently as co-founders and senior executives of LOGOS Resources, LLC, a successful private equity-backed venture in the San Juan basin.
In addition to Akers and Gonzales, Ron Morgenstern has recently joined Bison. Prior to Bison, Morgenstern was Vice President of Land and Business Development for Synergy Resources Corporation.
“We are thrilled to be partnering with Carnelian,” said Akers. “Their financial strength and focused fund structure gives us the flexibility to move very efficiently as we evaluate and execute opportunities.”
Daniel Goodman, a Carnelian Partner, said: “We are grateful to have the opportunity to partner with such skilled and energetic entrepreneurs. Austin and David’s proven operational and leadership capabilities, combined with their strong relationships in the DJ Basin, provide an incredible foundation for value creation.”
About Bison Oil & Gas Partners, LLC
Bison is an oil and natural gas company based in Denver, Colorado. Bison focuses on acquisition, exploitation and development drilling in the Rocky Mountain region, with a primary focus in the Denver-Julesburg Basin of Colorado. For more information, please visit www.bisonog.com.
About Carnelian Energy Capital Management, L.P.
Carnelian is a private equity firm based in Houston, Texas. Carnelian focuses on lower and middle market energy investments requiring between $35 million and $75 million of equity capital in the North American upstream, midstream and oilfield services sectors. For more information, please contact Carnelian at or visit www.carnelianenergy.com.