EagleRock Acquires Intrepid Ranch
Acquisition materially expands EagleRock's contiguous Delaware Basin position, with significant upside expected to be achieved through active management of the asset
EagleRock Land, LLC (“EagleRock”), a surface land management company that controls surface acreage in the core of the Permian Basin, acquired the Intrepid Ranch, which is comprised of approximately 50,000 surface acres, from Hydrosource Logistics LLC (the "Acquisition") for a total purchase price of $78.2 million. The Acquisition was funded through a combination of cash on hand and borrowings under EagleRock’s existing revolving credit facility, reflecting EagleRock’s strong liquidity position and financial flexibility.
The acreage is directly adjacent to EagleRock's existing surface position in Lea County, New Mexico, and includes approximately 22,000 fee acres, representing an increase of approximately 60% to EagleRock’s existing fee acreage in New Mexico. EagleRock intends to apply the active management approach it has used successfully elsewhere in its portfolio, including renegotiating and modernizing mutually beneficial surface use agreements, optimizing and expanding water infrastructure and water rights, and unlocking additional royalty opportunities including sand development.
