Lime Rock Works To Thread The Market’s Needle

摘要

”There is no question that as we enter the mature stage of the shale revolution,and a difficult time for energy equity investors,all oil and gas private equity firms must return to the first principles of energy PE,”said Jonathan Farber,co-founder and managing director of Lime Rock Partners.Now 21 years old,Lime Rock closed on nearly $700 million for its eighth fund and an affiliated co-investment vehicle last year.”The questions any teams seeking capital from us have to ask themselves are,’what necessary role do we play in today’s shale economy?’ and’why is private capital actually needed?’“Farber continued to explain that all investment strategies must start with an inescapable fact: The public E&P sector is aggressively shifting its business model to be a generator of free cash-for dividends,share buybacks and debt paydown-rather than a consumer of private or public capital.While some E&P operators with good acreage and a healthy outlook will continue to present investment opportunities for equity providers in the near term,”those will be the exception rather than the rule.”