Press Release

Kirkland Advises Elk Range Royalties on Purchase of Permian Basin Royalty Interests

Kirkland & Ellis counseled Elk Range Royalties, LP on its decision to acquire certain Permian Basin royalty interests from an undisclosed seller. The acquired assets include roughly 2,600 core net royalty acres evenly split between the Delaware and Midland Basins with most of the interests located in Loving, Reeves, Upton and Midland Counties, Texas and Lea County, New Mexico. There are approximately 250 producing horizontal wells and over 650 remaining undeveloped locations on the Acquired Assets. LTM cash flow on the Acquired Assets was $10.8mm and includes top operator exposure to Devon, Pioneer and Endeavor. Elk Range funded the acquisition through a combination of its equity commitment from NGP Royalty Partners, LP and its credit facility with Texas Capital Bank.

Read Elk Range’s press release

The Kirkland team was led by corporate partner Rahul Vashi and associates Alia Heintz, Skyler Sikes, and Zach Scott; with assistance from corporate partner Shubi Arora; tax partners David Wheat and Joe Tobias; and debt finance partner Lucas Spivey and associate Scott Reid.