Private Equity News & Analysis

KrisEnergy secures $150m acquisition facility

The First Reserve portfolio company has struck a deal with Standard Bank to expand its oil and gas-producing assets.

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KrisEnergy, an Asian oil and gas company and portfolio company of energy-focused private equity firm First Reserve Corporation, has received a $150 million acquisition finance facility to help bolster its portfolio of oil and gas-producing assets.


“This facility is the first step in applying appropriate leverage to producing assets to maximise the utilisation of our available equity and enhance our financial returns in a balanced manner,” Keith Cameron, chief executive officer of KrisEnergy, said in a statement.

KrisEnergy is an upstream oil and gas company established by First Reserve in September 2009 to create a portfolio of exploration, development and production assets in Southeast Asia. It currently holds interests in nine licences in Cambodia, Thailand, Indonesia and Vietnam. KrisEnergy has utilised the acquisition finance facility for recently concluded transactions in Indonesia and Thailand. 

First Reserve Corporation injected $500 million into the company at the time of its inception and has a 99 percent stake in the business, with the company's founders and key management owning the remaining 1 percent stake. The firm made the investment from Fund XII, which closed in April 2009 on $9 billion – $3 billion shy of its target. 

First Reserve’s previous investments in Southeast Asia include mining services company Connect Resources Services and coal mining company Southern Cross Coal Holdings, both based in Australia. Â