#United States #Houston #EnCap Investments #X2 Resources #Rice Investment Group

X2 Resources Announces Major Equity Commitment

X2 Resources, LLC, a prominent player in the oil and gas industry, has recently made headlines with its announcement of securing a substantial equity capital commitment from notable investment firms, including EnCap Investments L.P., Westlawn Group LLC, and Rice Investment Group. This alliance aims to bolster X2's pursuit of acquisition opportunities across leading oil and gas basins, potentially involving deals worth between $500 million to several billion dollars.

Strengthening Foundations for Growth

The recent capital influx is a testament to X2's solid foundation, characterized by a robust team of industry professionals and a unique corporate culture. These elements are integral to the firm's strategy of executing large-scale oil and gas development projects.

Gray Lisenby, CEO of X2, expressed his excitement regarding the new partnerships, stating, "We are thrilled to be in partnership with EnCap, Westlawn, and RIG, and deeply appreciate their support and trust. Our equity partners and operating team are aligned and confident in our ability to develop large-scale assets and generate attractive risk-adjusted returns."

The commitment from these esteemed investors reflects their confidence in X2's capabilities, given the company’s track record of efficient and responsible operations. Jason DeLorenzo, Managing Partner at EnCap, emphasized the potential for success, saying, "We greatly appreciate our long-standing partnership with Gray and the X2 team and look forward to building another successful enterprise together."

Success Story and Future Vision

X2 Resources has a commendable history, having previously led XCL Resources, LLC to a successful sale to SM Energy Company and Northern Oil and Gas, Inc. for an impressive $2.64 billion in October 2024. XCL, under the guidance of the same leadership, successfully drilled 250 wells across 12 formations in Utah's Uinta Basin, dramatically increasing oil production from 10,000 to 60,000 barrels per day. This achievement serves as a solid precursor to what X2 Resources hopes to replicate on a larger scale with its new funding.

The legal aspects of the investment were fortified by leading law firms: Vinson & Elkins LLP acted as legal counsel for EnCap, Winston & Strawn LLP for Westlawn, and Latham & Watkins LLP for X2, ensuring compliance and propriety throughout the process of forming this new partnership.

About X2 Resources and Its Partners

X2 Resources is dedicated to seeking transformative growth within the energy sector, aiming to leverage the support of its financial partners effectively.

• - EnCap Investments L.P. has been a key player in venture capital since 1988, raising over $47 billion across 25 funds, and is known for its focus on the independent sector of the U.S. energy market.
• - Westlawn Group is a newer entrant, established in 2021, and is based in Houston, specializing in long-term investments in the global oil and gas industry.
• - Rice Investment Group focuses on utilizing its technical and strategic expertise to enhance shareholder value, drawing on its background from Rice Energy, which became significant in the natural gas sector through a merger with EQT.

A Promising Future

As X2 Resources embarks on this new venture with enhanced capital backing and seasoned partnerships, industry stakeholders await the impact of its strategies on the energy sector. The commitment reflects not only confidence in X2’s current capabilities but also optimism for its future role in shaping the oil and gas landscape.

In conclusion, X2 Resources stands at a pivotal moment poised to capitalize on new opportunities in the energy market, with an empowered team ready to tackle the challenges ahead effectively. As the company moves forward, the expectations are high for delivering value to its stakeholders while navigating the dynamic nature of the energy industry.