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Quantum Energy, Tug Hill to Form $450MM E&P Partnership
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Quantum Energy Partners and Tug Hill, Inc. have reported the formation of a partnership to engage in the acquisition, development and exploitation of conventional and unconventional oil and gas assets in certain North American basins. The Partnership will be supported by an initial $450 million equity commitment from Quantum and Tug Hill.
Michael G. Radler founded Tug Hill in 2007 and serves as its President and Chief Executive Officer. In 2007, Tug Hill partnered with Chief Oil & Gas and collectively 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.
Radler is supported by a highly experienced and entrepreneurial team, providing the Partnership with a strong acquisition and operating platform which will enable THQ to immediately begin executing its strategy. The Tug Hill team has a track record of creating significant value in both conventional and unconventional resource plays across multiple U.S. basins. Many of the senior leadership at Tug Hill have worked for Radler for the majority of their careers, including tenures at Tug Hill, Jetta, and Chief, and have proven operational execution capabilities.
Tug Hill President and CEO Michael Radler commented: "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. 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."