Porter Hedges Advises PureWest on Largest, First of Its Kind Upstream Energy Securitization
Porter Hedges advised PureWest Energy, LLC (“PureWest”), the leading natural gas producer in Wyoming, on the first joint 144A / 4(a)(2) oil and gas wellbore securitization. The offering, valued at $600 million, marked the largest upstream energy securitization completed to date and comprised a combination of $300 million of 144A Class A1 Notes and $300 million of Class A2 Notes offered and sold as a 4(a)(2) private placement.
The $600 million in asset-backed notes were collateralized by a portion of PureWest's producing natural gas assets. PureWest's differentiated ESG and cost performance were two key components in building demand for the offering, which received an investment-grade rating of "BBB+" from Fitch Ratings.
Porter Hedges served as oil and gas counsel to PureWest, alongside Stroock & Stroock & Lavan LLP who served as the company’s structured finance counsel.
PureWest Energy, LLC is a private energy company focused on developing its long-life gas reserves in Wyoming's Green River Basin where the Company controls more than 126,000 gross (115,000 net) acres in and around the prolific Pinedale and Jonah Fields. PureWest is focused on achieving ever-higher ESG performance as part of its commitment to stakeholders.
For additional information, please see the PureWest press release here.