HOUSTON, Dec. 7, 2009 (GLOBE NEWSWIRE) -- Atinum Partners (the "Company") announced today the Company has closed the acquisition of Sterling Energy USA and Sterling Energy Inc. for $90 million (U.S.). The combination of these two formerly wholly owned subsidiaries of UK based Sterling Energy plc has been named Atinum E & P ("AEP"). Atinum Partners, headquartered in Seoul, Republic of South Korea is a private investment company with assets under management of over $1.5 Billion (U.S.). This acquisition represents the initial energy acquisition by the Company. The transaction was funded by a combination of equity and a new Senior Facility led by Bank of Montreal (BMO).
Atinum E & P has working interests in approximately 200 active wells in Texas, Texas state waters and onshore Louisiana. Current production in excess of 24 Mmcfed (million cubic feet equivalent per day) with total proved reserves of approximately 53 Bcfe (billion cubic feet equivalent) and probable reserves of 41 Bcfe. In addition AEP has an inventory of over 100 drilling projects located onshore in Texas and Louisiana including representation in an active Eagle Ford shale gas development in South Texas. All 32 employees of the previous owner have been retained and offices remain in Houston, TX.
Mr. Seung Wook Song, President and CEO of Atinum Partners, commented, "We are pleased to enter the US energy sector with this investment. Atinum sees significant growth opportunities in the marketplace and expects to invest further in the energy sector over the coming 18-24 months. With this platform, we expect to see many opportunities to expand our operations along the Gulf Coast and in the Mid-Continent."
Daniel H. Silverman, President and CEO of Atinum E & P, said, "We are thrilled to be associated with Atinum Partners and with BMO. Atinum has a long and successful track record of investments in multiple industries and BMO has long been one of the leading energy lenders in the U.S. We also feel that the decision to enter the energy sector is strategically well timed."
Atinum Partners was assisted in this transaction by Energy Holding Group and Bond Trading and Investing.