Aethon Energy Management LLC, a private investment firm focused on onshore oil and gas, together with its partner, RedBird Capital Partners LLC, have acquired certain Ark-LA-Tex assets from SM Energy Co. (NYSE: SM). Terms of the transaction were not disclosed.
SM Energy’s Ark-LA-Tex assets comprise 76,300 net acres with current net production of 29 MMcfe/d, 98% of which is gas. With this acquisition purchased in partnership with RedBird, Aethon now manages assets in the Ark-LA-Tex area producing 56 MMcfe/d.
Weil Gotshal & Manges LLP and Ringet & Collier PLC served as legal counsel to Aethon. Gardere Wynne Sewell LLP served as legal counsel to RedBird. RedBird’s financial advisor was Evercore Partners Inc.