Lime Rock Partners Announces Two Realizations9/27/2005
WESTPORT, Conn., September 27—Lime Rock Partners, a private equity firm focusing on the energy industry, today announces the sale of its stakes in Deer Creek Energy Limited, a Calgary-based oil sands development company, and Venture Production plc, an Aberdeen-based oil and gas producing company. Lime Rock Partners made its initial investment in Deer Creek Energy in 1998 and its initial investment in Venture Production in 1999 and has played an active role in the growth and development of both companies.
Deer Creek Energy has interests in both steam assisted gravity drainage and mining assets in the oil sands in northern Alberta. Lime Rock Partners sold its shares in Deer Creek Energy on September 12, 2005 as part of the C$1.7 billion acquisition of the company by Total E&P Canada Ltd, a subsidiary of Total S.A. Lime Rock owned approximately 28% of Deer Creek Energy before its sale to Total E&P Canada and was the largest shareholder in the company. Glen Schmidt, former CEO of Deer Creek Energy, noted, “The actions, investments, strategic advice, and long-term view of the Lime Rock team were critical elements to our success. Throughout Deer Creek’s history, from its initial lease acquisition to its secondary financings, from its IPO to its sale, members of the Lime Rock team were not only active Board members but also true investment partners.”
Venture Production (LSX: VPC) is a leading new generation oil and gas company focused on recapturing the potential of stranded reserves in the U.K. North Sea. Lime Rock Partners sold its interests in Venture Production through public share sales in 2005. Lime Rock Partners negotiated and led the first major institutional round of private equity into Venture Production in late 1999, when company production was 200 barrels of oil equivalent per day. The company recently reported that production averaged 35,000 barrels per day in the second quarter of 2005.
Jonathan Farber, Managing Director of Lime Rock Partners, said, “The Deer Creek and Venture investments were two of the earliest investments in Lime Rock history. In many ways, they set the standard for what we try to do at our firm in providing growth capital to energy companies with entrepreneurial management teams and long-term strategies to create value. We are gratified that both investments have done well and have allowed us to generate strong returns for our investors. And we are grateful to the exceptional management teams of both companies.”
Lime Rock Partners is a private equity firm with $850 million under management dedicated to investing in energy companies with high growth potential. From offices in four major energy centers in North America and Western Europe, Lime Rock Partners targets growth equity investments in conventional oil service, oil service technology, and exploration and production and processing companies. For more information, please visit www.lrpartners.com.
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