Kimmeridge Texas Gas takes steps to deliver LNG on net-zero basis
Published by Jessica Casey,
Editor
LNG Industry,
Kimmeridge, an investment firm focused on the energy sector, has announced that its affiliate, Kimmeridge Texas Gas (KTG), has signed a definitive agreement to acquire certain upstream assets from a private seller, as it expands its footprint in the Eagle Ford shale play. These assets, which include approximately 30 000 acres and current production of 65 million ft3-e/d, have a strong degree of overlap with KTG's existing 75 000-acre position in the play, offering significant scale and operational synergies. KTG anticipates continuing its multi-rig programme focused on the Eagle Ford and Austin Chalk, with a target of delivering over 500 million ft3-e/d net on a pro forma basis in 2026.
Kimmeridge also signed a definitive multi-year transportation agreement with Kinder Morgan Texas Pipeline LLC (KMTP) to secure midstream takeaway for its Eagle Ford natural gas, enabling KTG to deliver natural gas across multiple LNG facilities along the Gulf Coast. Combined with Kimmeridge's previously announced investment in Commonwealth, an LNG export terminal project strategically located on the Calcasieu River at the Gulf of Mexico near Cameron, Louisiana, these investments deepen Kimmeridge's South Texas foothold, and will position KTG to deliver natural gas/LNG from the wellhead to the water.
Ben Dell, Co-Founder and Managing Partner of Kimmeridge, said: “Our acquisition of these upstream assets and agreement with KMTP will meaningfully advance KTG's ambitions of becoming fully integrated from source to sink, providing reliable, secure and clean energy to global markets. Kimmeridge has always sought to be a pioneer in the energy space, first with the ideation and implementation of a new E&P business model, followed by the formation of Civitas Resources, Colorado's first carbon-neutral energy company, and now as we build a leading international LNG platform. Through our investments in South Texas, we believe we will be able to deliver net-zero LNG, where all Scope 1 and 2 emissions will be offset by a combination of mitigation, sequestration and carbon removal.”
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/12102023/kimmeridge-texas-gas-takes-steps-to-deliver-lng-on-net-zero-basis/
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