Houston-based EagleRock Land last week filed with the SEC for an initial public offering that could raise up to $200 million. EagleRock Land collects royalties and fees from oil and gas production on the land it owns and manages in Permian Basin. It owns or controls about 236,000 acres of surface land in Delaware Basin and Midland Basin in Texas and New Mexico. The assets include 70,000 gross acres with Double Eagle IV in Reagan County in water infrastructure. The IPO was filed April 16.
Bloomberg reported EagleRock “seeks to expand holdings and attract power generation, data centers and other industrial developments that could benefit from being near energy sources.” The company generates revenue from oil and gas companies such as Chevron, ConocoPhillips, Devon and Midland’s Diamondback Energy that drill on its land.
Reuters said EagleRock “aims for a valuation between $1 billion and $2 billion.” Goldman Sachs, Barclays and J.P. Morgan are among underwriters of this offering. EagleRock said it will use proceeds of the sale to repay debt and fund operations and land acquisitions.