Blackstone (NYSE:BX) today announced the formation of Jetta Permian, LP (“Jetta Permian”), a partnership between an affiliate of Jetta Operating Company, Inc. (“Jetta”) headquartered in Fort Worth, Texas and funds managed by Blackstone Energy Partners L.P. (“Blackstone”). Jetta Permian will target assets and leasehold in the Delaware Basin located in West Texas and southern New Mexico with $1.0 billion of capital committed from Blackstone and Jetta’s partners.
A commitment of this scale, and flexibility combined with Jetta’s deep technical expertise and a long-term focus on best-in-class operations and results enables and differentiates Jetta Permian to pursue creative and unique opportunities of scale within the Delaware basin. Jetta’s strategy includes pursuing asset and leasehold acquisition opportunities, farm-in transactions and partnerships or joint ventures with existing operators and landowners.
Angelo Acconcia, a Senior Managing Director with Blackstone who oversees their investments in the oil and gas sector, said, “We are excited to partner with Greg and the Jetta team to launch this new platform in the Delaware Basin. It is a great example of our focus on aligning ourselves with best-in-class teams, and providing them with significant long-term, patient and flexible capital to effectuate a focused and unique business plan. We have known the Jetta team for a number of years, and have come to respect them as top-tier operators with a unique local presence in the Delaware Basin. We believe that Jetta Permian is well positioned to become one of the leading Delaware Basin pure-play companies and a partner of choice for those that are looking for someone to provide additional capital and operational resources to optimally develop their assets and / or leasehold.”
Greg Bird, CEO and President of the general partner of Jetta Permian and the President and owner of Jetta, said, “With a $1.0 billion equity commitment and with the collective resources of the Blackstone team to support the partnership, coupled with the Jetta team’s operating capabilities and track record, this will allow for and enable the strategic and successful acquisition and development of high quality oil and gas assets in the Delaware Basin. Jetta is excited to have the confidence of an institution like Blackstone with its broad financial resources, reputation of excellence and oil and gas track record. The teams assembled to work on this partnership are exceptional. We look forward to the challenges ahead and to applying our technical passion, experience, and diligence into creating a pure play Delaware Basin platform.”