Energy company Paradox Resources has closed a strategic transaction with Sage Road Capital, a Texas based private equity investor in the energy industry.
The proceeds of the investment will enable the company to advance the optimization and automation initiatives actively underway at its Lisbon Valley Gas Plant.
These efforts, combined with additional ongoing strategic initiatives, will create newly available access to high-quality gathering, processing, and marketing services for regional producers of stranded Helium-rich resources in the southern Paradox Basin.
Paradox Resources, an integrated energy company, owns multiple producing oil and gas fields in Utah and Colorado which feed its wholly-owned Lisbon Valley Gas Plant. The Lisbon Valley Gas Plant is an advanced processing facility capable of treating 60 MMcf/d of natural gas with a 45 MMcf/d cryogenic plant and a 7,500 Bbl/d fractionation train. At full current capacity, it will strip and polish up to 1,100 Mcf/d of Helium to 99.9999% purity. In addition to servicing its own growing production volumes, the company has executed multiple new contracts with third-party producers that provide integrated solutions and have now created market access for their natural gas production.
The company’s Lisbon Valley Gas Plant is one of only eight helium liquefiers in the US, representing 7% of total North American Helium liquefaction capacity. The Paradox Basin has been noted by the US Geological Survey as having one of the largest undeveloped oil and natural gas fields in the US and contains reservoirs with world-class helium content of up to 8% of the total natural gas stream. Virtually 100% of these volumes are expected to be accessible to the Lisbon Valley Gas Plant.
“Our transaction with Sage Road Capital better enables Paradox to access a critical but stranded Helium resource and transport it to the Lisbon Valley Gas Plant to process and liquefy 6 Nines Helium. It also represents further validation of Paradox’s positioning within the Four Corners region and the broader Helium market. We look forward to working with the Sage Road team to realize the potential of the region’s significant undeveloped resources,” said Todd A. Brooks, Paradox Resources’ CEO.
For more information visit: www.sageroadcapital.com
