Cornerstone Acquires Oil & Natural Gas Interests in Citation-operated Properties
GREENWICH, Conn., Nov. 9, 2010 /PRNewswire/ — Cornerstone Acquisition & Management Company LLC (“Cornerstone”), a sub-advisor to Centaur Performance Group, announced today that it has acquired a portfolio of royalty interests in producing oil and gas properties located in Southern Oklahoma, operated by Houston-based Citation Oil and Gas Corp.
“This transaction is indicative of the type of private assets we like to target and acquire for our investors,” said Derren Geiger, Portfolio Manager of the Caritas Funds and Chief Operating Officer of Cornerstone.
Cornerstone specializes in building and managing portfolios of private energy assets and currently manages in excess of $100 million of oil and natural gas royalty interests diversified across 21 states and several hundred counties.
“We target properties located 100% onshore within conventional basins and reservoirs whereby extraction costs are relatively low, well decline rates are predictable and production is largely consistent and unthreatened from both hurricanes and high extraction economics,” added Geiger.
Faced with continued uncertainty regarding the pace of economic growth throughout the developed world and the increasing amounts of liquidity being pumped into the global economy, investors are increasingly turning to gold and other commodity-linked real asset classes like oil and gas.
The three primary keys to Cornerstone’s strategy in managing domestic energy portfolios have been acquisition discipline, active property management, and strategic hedging.
The transaction closed in October, and terms were not disclosed.
ABOUT CENTAUR PERFORMANCE GROUP
Centaur Performance Group, LLC is an alternative asset manager, who for over 16 years has provided innovative investment solutions with disciplined risk management. The firm specializes in credit and niche private energy strategies. Centaur is headquartered in Greenwich, CT. www.centaurperformance.com
Originally founded in 2004, Cornerstone Acquisition and Management Company LLC is the sub-advisor to Centaur’s niche private energy strategies and employs both financial and oil and gas industry professionals. Cornerstone specializes in the acquisition and management of private, U.S.-based oil and natural gas royalty interests and over-riding royalty interests located within prolific basins across the continental United States. Cornerstone is based in San Diego, CA.
SOURCE Centaur Performance Group