Delonex Energy Limited announced that an affiliate of Warburg Pincus, a global private equity firm focused on growth investing, has agreed to lead an investment of up to $600 million in the Company.
Delonex Energy is led by Chief Executive Officer (CEO) Rahul Dhir, the former CEO of Cairn India Limited, where he led the company from its inception through to its $2 billion IPO and ultimate sale to Vedanta Resources plc. Cairn India increased its market value just under $13 billion, with an operated production of over 200,000 barrels of oil equivalent per day.
Delonex Energy is focused on leveraging technology, execution and market access in order to discover, develop and commercialize hydrocarbons efficiently and effectively. The Company’s key strategic areas include the East African Continental Rift System, which extends from the Red Sea through Ethiopia, Kenya, Uganda, Tanzania to Mozambique; the Central African Rift System from Chad to South Sudan, and the coastal margins of East Africa. Delonex Energy plans on accessing opportunities in these areas through farm-in and direct awards from host governments.
Mr. Dhir is excited to be launching an African E&P company with backing from Warburg Pincus. There is significant, underexplored resource potential in Central and East Africa, and the team has the experience, technology and capital to unlock these hydrocarbon resources and create value for our host governments. Warburg Pincus is one of the leading investors globally in the energy sector and has an impressive track record of investing in and building companies in emerging markets. The deep experience that Warburg Pincus has in supporting energy companies across the world as well as its expertise in emerging markets will be invaluable to them as they go forward.
Delonex has pioneered innovative applications of technology and brings a strong focus on disciplined execution and low-cost operations. Along with their knowledge of Africa and a successful track record in similar basins around the world, it is believed that this team is well positioned for exploration success in Central and East Africa.