Mubadala Energy, a subsidiary of government-owned Mubadala Investment Co., Abu Dhabi, signed an agreement with Kimmeridge to acquire a 24.1% interest in Kimmeridge's SoTex HoldCo LLC, via the issuance of new equity, the companies said in a joint release Apr. 10.
SoTex holds two portfolio companies: Kimmeridge Texas Gas, which operates an upstream unconventional gas business in the Eagle Ford in South Texas, and Commonwealth LNG, which owns the 9.3 million tonnes/year (tpy) pre-final investment decision (FID) LNG liquefaction and export plant in Calcasieu Pass, La. (OGJ Online, Oct 11, 2023; Aug. 14, 2023).
Kimmeridge Texas Gas' current net production is over 500 MMcfed which is expected to grow to 1.5 bcfed by 2031. FID for Commonwealth LNG is expected in September 2025 with first offtake from the LNG plant expected in first-quarter 2029.
In February 2025, Commonwealth LNG received a conditional non-free trade agreement export authorization from US Department of Energy, and separately received its draft Supplemental Environmental Impact Statement from the Federal Energy Regulatory Commission.
The transaction is subject to customary regulatory filings and approvals before closing.
