Quantum Energy Partners of Houston and Tug Hill Inc. of Fort Worth partnered up in August with plans to acquire and develop conventional and unconventional oil and gas assets in some North American basins. The partnership will be supported by an initial $450 million equity commitment from Quantum and Tug Hill. “Establishing the partnership with Quantum uniquely positions Tug Hill to take advantage of a number of exciting exploration and development opportunities throughout the United States”, said Tug Hill president and CEO Michael Radler in a news release. “Tug Hill wanted to find a partner that is committed to adding long-term value, has an entrepreneurial culture, is able to navigate the capital markets and shares a common view on energy investing; we found all of these attributes with Quantum. Together, Tug Hill and Quantum bring a strong combination of technical, operating and financial skills that will allow the partnership to execute on a number of attractive opportunities in capital intensive shale plays and conventional fields.”
Radler founded Tug Hill in 2007. That same year Tug Hill partnered with Chief Oil & Gas and built a land position in excess of 600,000 acres in the Marcellus shale. Radler served as the interim chief operating officer at Chief from 2009 to 2012 as the two companies developed and monetized portions of their Marcellus shale acreage. Tug Hill has participated in over 750 Marcellus shale wells to date and plans to continue to participate in the drilling and development of its Marcellus assets. Tug Hill will continue to manage its existing Marcellus and legacy properties outside of the partnership with Quantum. Prior to founding Tug Hill, Radler co-founded Jetta Operating Company in 1991 and served as its president until 2007. Jetta grew through acquisitions and drilling in various basins throughout the United States and operated in excess of 1,000 producing wells in 11 states. Founded in 1998, Quantum Energy Partners is a leading provider of private equity capital to the global energy industry, having managed together with its affiliates more than $7.5 billion in equity commitments since inception.