Startup LOLA Energy Secures $250M Equity Commitment
WEXFORD, Pa. – LOLA Energy, a newly formed independent oil and gas company, is beginning operations here with a $250 million equity commitment from Denham Capital, an energy and resources-focused private equity firm.
The equity funding will supplement equity commitments from the executive management team and be used to pursue the leasing, acquisition, exploration and development of oil and gas properties in the Marcellus and Utica shale plays, the company said.
In announcing the funding, LOLA said it is acquiring oil and gas properties for oil and gas development in core areas of the two shale plays. It expects to bring 10 to 20 new jobs to the region within its first year of business.
LOLA was formed by four former executives from EQT Corp., an oil and gas production company based in Pittsburgh.
“I am ecstatic that we have assembled together a group of highly talented oil and gas professionals who have the deep experience in the Appalachian Basin required to pursue horizontal shale development opportunities in our own backyard,” said CEO Jim Crockard.
During his 14-year career with EQT, Crockard led more than $2 billion of public debt and equity raises to fund EQT’s horizontal development programs and was responsible for all upstream acquisitions, divestitures, joint ventures and land operations.
Joining Crockard on LOLA’s executive management team are three other former EQT executives: Richard Hill, Lindell Bridges and Dave Bradley. The four-person management team has nearly a century of experience in the oil and gas industry, having worked together on drilling and completion programs that total more than 2,000 developed horizontal shale wells, the company said.
“Denham is excited to partner with LOLA. We believe the founders’ deep, local roots and recent area successes provide a strong foundation to build a new E&P company in the country’s lowest cost gas basin,” said Jordan Marye, partner at Denham Capital.
Denham Capital has more than $8.4 billion of invested and committed capital across eight fund vehicles and offices in Houston, London, Boston, São Paulo and Perth.
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