The capital will be used to find, develop and acquire oil and gas reserves and production, primarily in the Permian Basin.
Element III marks the third partnership between ArcLight and Element Petroleum, dating back to affiliates of Element Petroleum founded in 2006. During the first two ventures, Element Petroleum focused on finding and developing acreage prospective for vertical Wolfberry exploitation and, more recently, horizontal exploration and development of the Wolfcamp and Spraberry shales.
To date, Element Petroleum has drilled over 300 wells on over 120,000 acres in the Permian Basin, including the first successful horizontal Wolfcamp well in Howard County, Texas in May 2013. Management has focused Element on Howard, Glasscock, Martin, and Dawson counties, Texas.
Daniel Revers, ArcLight Managing Partner, stated:
“ArcLight is pleased to be partnering again with the experienced team at Element.”
Todd Gibson, Element’s President and CEO, commented:
“We could not be more excited to continue our partnership with ArcLight during this transformative time in the energy sector.”