New oil and gas JV to form in Texas

KKR and Riverstone Holdings LLC signed a definitive agreement to merge existing assets to form a new oil and gas company called Trinity River Energy LLC. Financial terms of the deal were not disclosed.

The companies will merge existing assets held by KKR Natural Resources Funds (KNR) with the assets of Legend Production Holdings LLC. The new company will be based in Fort Worth, Texas along with its operations executive team. The finance, accounting and information technology executive team will be based in Houston. KKR and Riverstone will jointly own the new company, and Chris Hammack, the current president and CEO of Legend, will become the CEO of Trinity River Energy.

The deal is expected to close in the third quarter of 2014.