High Growth Assets with Core Locations in the Delaware Basin

Rosehill Resources is an independent oil and natural gas company focused on growing production and reserves in the core of the Delaware Basin, through drilling and bolt-on acquisitions. Rosehill has more than 11,000 net acres with over 470 drilling locations across multiple stacked horizons. Rosehill is a pure play Delaware Basin operator and is headquartered in Houston, Texas.

Growth and Strategy

Rosehill’s strategy for its premier Delaware Basin portfolio is to build a solid foundation of highly economic production and reserves growth through operational excellence and acquisitions.

Optimize Operations

  • Continue improvements to drilling and completion techniques to improve EUR, minimize costs and improve returns
  • Drive down cash operating costs and improve margins to grow cash flow and returns

Expand Delaware Footprint

  • Aggregate small to moderate acreage positions that are strategic and accretive
  • Strong balance sheet allows for this aggregation

Maintain Financial Discipline

  • Capital expenditures focused on highest return horizons and funded by cash on hand, operational cash flow, available funding and credit
  • Opportunistically add hedges to minimize downside exposure

Deliver Value to Shareholders

  • Sustainable growth in net income and cash flow
  • Operate safely and efficiently to maximize margins

Company Highlights

  • >11,000 total net acres in the hyper-core of the Delaware Basin
  • NRI of ~80% across operated acreage
  • >470 gross undrilled locations on current leasehold
  • 11 years of drilling inventory with two-rig program
  • 2017 production surpassed 10,000 BOEPD (82% oil and 92% liquids)
  • Improved Gen-3 completion design tested and will spur higher future production
  • 2017 proved reserves increased 135% to 31.1 MMBOE and PV-10 increased 353% to $368 million compared to 2016 year-end
  • 3P reserves of 105.9 MMBOE as of December 31, 2017

Company History

Rosehill Resources was formed in 2017 through the combination of Tema Oil and Gas Company and KLR Energy Acquisition Corp.

Tema Oil and Gas Company was formed in 1999 as a wholly owned subsidiary of Rosemore, Inc., with assets in Texas and New Mexico. The Rosenberg family, which owns Rosemore, and are direct descendants of Louis Blaustein, the 1920 founder of the American Oil Company, or Amoco. 

KLR Energy was a blank check company, also commonly referred to as a Special Purpose Acquisition Company, or SPAC, formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses or entities. KLR Energy was sponsored by KLR Energy Sponsor, LLC, an affiliate of KLR Group Holdings, LLC and KLR Group, LLC.