Fundare Resources closes acquisition of Redtail assets from Whiting

Fundare Resources Co. LLC, Denver, on Nov. 1 will take over operations of oil and gas assets in the Denver-Julesburg basin of Colorado (Redtail assets) it acquired from Whiting Petroleum Co.

In July, Whiting noted an agreement with a then-undisclosed buyer to divest its Redtail assets in rural Weld County, including associated midstream assets, for total cash consideration of $187 million (OGJ Online, July 22, 2021). The assets span 67,278 net acres (99% operated) with 319 operated wells producing 7,100 boe/d (51% oil, 70% liquids), and include a wholly owned natural gas processing plant with capacity of 65 MMcfd and 100 miles of gathering pipelines

The acquisition was funded through equity provided by WDC Energy LLC, management and a group of friends and family investors, Fundare said. The company also entered into a note purchase agreement with Cibolo Energy Partners LLC to provide debt capital used to fund a portion of the acquisition.