Business Description: AggieTech developed and operated seven high-quality, high capacity strategically located Class II licensed salt water disposal well facilities in the Permian Basin. AggieTech Operating was founded in 2012 and is headquartered in Midland, Texas.
Challenge: The owners had additional salt water disposal assets they desired to develop, however, capital was limited. They determined they either needed to find a capital partner with substantial resources or sell the assets to a larger strategic buyer. Further, there were over 20 working interest owners, which created additional complexities as it related to deal execution.
Solution: The owners engaged Wilcox Swartzwelder & Co. to broadly test the market with both private equity groups and strategic buyers. WS&Co aggressively solicited interest from a number of qualified parties and negotiated favorable terms with Oilfield Water Logistics (“OWL”), which has a partnership with Natural Gas Partners (“NGP”) and NGP Energy Technology Partners (“NGPETP”). The AggieTech team will become part of the OWL family and will be responsible for OWL’s Permian Basin operations.
Transaction Demonstrates: Another example of Wilcox Swartzwelder & Co.’s deep energy industry knowledge, creativity and transaction execution expertise.
Wilcox Swartzwelder & Co. provides energy investment banking in Midland / Odessa, Texas.