Lime Rock, a private equity firm focusing on the global energy sector, has closed Lime Rock Resources II with USD410m in total capital commitments.
Like the first Lime Rock Resources fund, Lime Rock Resources II will seek to acquire, directly operate, and improve lower-risk oil and gas properties in the US.
Together with the Lime Rock Partners funds, which invest growth capital in energy companies worldwide, Lime Rock now manages private equity funds with USD3.9bn in total capital commitments.
Thirty five institutional investors, including endowments, foundations and pension funds, made capital commitments to Lime Rock Resources II. Sixty eight per cent of capital commitments came from existing Lime Rock investors, with the remainder from new investors.
Lime Rock began marketing the fund in August 2008.
Eric Mullins, co-chief executive of the Lime Rock Resources team, says: "When we launched the fundraising for Lime Rock Resources II, we had no idea of the economic turmoil that was to come only a month after the launch. To be able to count on the continued support of so many of our existing investors and to be able to win the trust of quite a few new investors during this challenging period has been a gratifying, and humbling, experience. We are excited to be able to begin our efforts to reward the trust of all the investors in Fund II."
Lime Rock closed the first Lime Rock Resources fund in 2005 with USD456m in total capital commitments.
Based in Houston, the Lime Rock Resources team has completed eight major transactions. It has acquired oil and gas properties in New Mexico, Texas, and Oklahoma and is seeking to acquire other mature properties nationwide.
