Houston-based startup producer TRP Energy just received a $250 million boost in private equity, FuelFix reports. TRP plans to use the hefty funding to buy land, which they’ll pay other companies to drill. In the midst of a precarious oil market, the TRP will be able to pursue larger-scale endeavors that it could independently developing the acreage.
“What we really want to have in meaningful position in these plays,” TEP President Randy Dolan told FuelFix. “We’re looking today at where rigs are running. It’s a sign they’re still economic.”
The company is currently seeking investments upwards of $100 million, according to TRP CEO Terry Foltz.
“There’s an appetite for the right assets,” he said.
Dolan believes his company will help make oil producers more efficient, in many cases allowing them to use TRP’s capital to allow for wiggle room during the oil slump.
“Right now, the markets are still on hold,” he said. “It has to be highly economic in today’s environment. That being said, we’re willing to pay up to get into the top plays.”