March 18, 2022
Pine Wave Energy Partners LLC has agreed to sell its natural gas gathering assets in the Haynesville production region in Louisiana and Texas.
Pine Wave announced March 14 that it entered into a definitive agreement to sell certain Haynesville assets located in Caddo Parish, Louisiana, and Harrison and Panola counties, Texas, to affiliates of Silver Hill Energy Partners III LP. Closing is expected in the second quarter of 2022 and is subject to customary approvals and closing conditions. Pine Wave will continue to operate its other properties and pursue new opportunities as a portfolio company of Old Ironsides Energy LLC.
Pine Wave was formed in 2018 by Ben Hunter, CEO; Ben Voigt, executive vice president; and Stephen O’Neal, executive vice president and general counsel.
“This transaction with Silver Hill is a significant step in the Pine Wave story,” Hunter said. “Over the past four years we have worked to build an outstanding position in the Haynesville, and I am proud of the way our team has executed across the board. We are grateful for our ongoing partnership with Old Ironsides and look forward to shifting our operational focus to the company’s next venture.”
Included in this transaction are Pine Wave’s assets located in Caddo Parish, Louisiana, and Harrison and Panola counties, Texas, which consist of approximately 12,500 net acres with ownership interests in 10 operated wells with approximately 100 million cubic feet per day (MMcf/d) of production. Also included in the transaction is all associated midstream infrastructure, including 18 miles of natural gas gathering pipelines located in Caddo Parish and Panola County.
“We are excited to acquire these high-quality assets, which directly offset our existing operations in the heart of the Haynesville Shale,” said Kyle Miller, founder, president and CEO of Silver Hill. “With this transaction, we are able to further expand our development inventory in an area that continues to present tremendous opportunity. Pine Wave has done a terrific job building its business and we expect to be able to positively leverage their strong position in the region.”
Akin Gump Strauss Hauer & Feld LLP served as legal counsel to Pine Wave’s management team, and Shearman & Sterling LLP served as legal counsel to Silver Hill.