NICKEL ROAD OPERATING ANNOUNCES STRATEGIC DIVESTITURE IN THE DJ BASIN

DENVER, July 28, 2022 /PRNewswire/ -- Nickel Road Operating LLC ("Nickel Road") today announced that it has strategically divested a portion of its assets in the Denver-Julesberg ("DJ") Basin to Bayswater Exploration and Production, LLC ("Bayswater"). The assets are positioned next to Bayswater's existing holdings in Weld County and included 2,752 net leasehold acres; 161 mineral acres; 17 producing wells (5 operated, 12 non-operated); working interests in 18 DUCs; and 68 operated well permits.

After this divestiture, Nickel Road will retain the majority of its production and operated drilling and spacing units in the Wattenberg Field, as well as 100 approved permits for extended reach horizontal wells.

"We are pleased with the completion of this transaction," said Andrew Haney, Co-President of Nickel Road. "We are also excited about our 2022 development program and the fairway of opportunities that we have in front of us."

Nickel Road Co-President, Dana Johnson added, "The remainder of our assets are located in the oil-rich Northern Wattenberg Field where there is a concentration of current development activity. Nickel Road has excelled at operational execution in the DJ Basin, and we remain focused on responsible development for all of our stakeholders in Weld County."

Based in Denver, Colorado, Nickel Road is focused on acquiring, leasing, and developing oil and natural gas assets in the Wattenberg Field. The company is supported by an equity commitment from Vortus Investment Advisors, LLC of Fort Worth, Texas.

Nickel Road was advised by Evercore, Shearman & Sterling and Dickie McCamey.

Nickel Road Operating LLC is a Denver-based oil and gas acquisition and development company.  Nickel Road was formed in July 2017 by Andrew Haney and Kit Tincher with a capital investment from private investors.  The company partnered with Vortus Investment Advisors to grow and develop the position.  Nickel Road is currently led by Andrew Haney, Dana Johnson and Kit Tincher. For additional information please visit www.nickelroadoperating.com.

Vortus Investment Advisors, LLC is a Fort Worth-based private equity firm focused on the lower to middle market upstream energy industry in North America. Vortus has an asset-based investment strategy, targeting privately negotiated transactions in the lower to middle market requiring approximately $25 million to $100 million of equity capital in partnership with successful owner/operators. For additional information, please visit www.vortus.com.

SOURCE Nickel Road Operating LLC