Gateway II Raises $58.5M to Secure Utica Royalties
CARROLLTON, Ohio -- Gateway Royalty II has raised $58.5 million to acquire oil and gas royalties in eastern Ohio's Utica shale, the company reports.
The company is targeting royalty interests in developing horizontal Utica shale and natural gas plays in Washington, Noble, Guernsey, Monroe, Belmont, Harrison, Carroll and Columbiana counties, the company said.
The principals of the firm previously raised $35 million and secured oil and gas interests on about 20,000 acres in the Utica.
"Gateway Royalty provides the mineral owner an opportunity to sell a portion of his or her royalty for cash today, thereby creating instant liquidity for many personal reasons," said Chris Oldham, president of Gateway II. This may include getting out of debt, sending kids to college, paying medical bills, estate planning, asset diversification or providing working capital for their business, he noted.
Doug Green, Vice President of Gateway II, added that "Over the last 20 months, Gateway has provided options to many families in eastern Ohio. Gateway II’s financial strength will allow us to pay mineral owners quickly, without seeking outside financing.”
Gateway II’s counsel is Vorys, Sater, Seymour and Pease LLP, Columbus, and Sprouse Shrader Smith PLLC, Amarillo, Texas.
Published by The Business Journal, Youngstown, Ohio.
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