Independent producer Bison Oil & Gas Partners II said Tuesday it’s closed on a $155 million term loan facility with global alternative investor Vӓrde Partners, Kallanish Energy reports.
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, 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 CEO. “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.”
Bison currently operates more than 20 wells across its approximately 50,000-net-acre position in northeast Weld County, Colorado.
“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.
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