Orrick has advised the note purchasers in the first rated securitization of oil and gas well interests, achieving an investment-grade rating and establishing a distinct, new asset class for securitization transactions.
“This structure is particularly significant as it expands securitization principles to a new asset class and provides meaningful returns for investors in the current debt market,” said Leah Sanzari, who co-led the Orrick team on the matter, along with energy and infrastructure partner Jonathan Ayre. “We expect this deal to serve as a model for additional securitizations in this space moving forward.”
“This structure will give a new class of investors the ability to benefit from the revenues generated by oil and gas assets while simultaneously providing the oil and gas industry an ability to monetize investments and obtain additional development capital in an otherwise challenging environment,” said Jonathan.
Orrick’s Structured Finance and Oil & Gas teams collaborated on the matter with a team that included Leah, Jonathan, Darrell Thomas, Nikiforos Mathews, Thomas Mitchell, Stephen Jackson, Alison Epperson and Alessandra Grace.