NGP Royalty Partners II, L.P. Completes Final Closing at $527 million
NGP is pleased to announce the final closing of NGP Royalty Partners II, L.P. (“NGP RP II” or the “Fund”) at $527 million of total capital commitments. NGP RP II was activated and began investing in November 2022, committing capital to its four underlying portfolio companies: Elk Range Royalties II, Foundation Minerals II, Mesa Royalties III, and Wing Resources VII.
Since 2015, NGP and its affiliates have invested over $1.0 billion in U.S. oil and gas royalties and minerals across its various funds. As the U.S. shale basins became more developed, NGP launched its first fund focused solely on investing in yield-generating royalties and minerals in core basins in 2020. NGP Royalty Partners, L.P. (“NGP RP I”) is a $320 million fund that has been fully invested and has already returned 74% of invested capital through distributions(1). NGP RP II is a continuation of the strategy employed by NGP RP I.
Over the past 10 years, over 100,000 horizontal wells have been drilled and completed in the U.S. Today, the U.S. is the largest global producer of both oil and natural gas. The further horizontal development of core U.S. basins continues to create attractive acquisition opportunities for NGP Royalty Partners’ strategy of acquiring yield-generating royalties and minerals with additional long-term development potential.
We are grateful to all the investors in NGP RP I who partnered with us to launch the first fund in 2020. In addition to receiving commitments from all of our original investors in NGP RP II, we are happy to welcome several new investors to the Fund.
Note: Past performance is not indicative of future results.
(1) 74% DPI calculated as total net distributions divided by total net invested capital as of 5/18/2023.