RGP Triples Fund Size With $175 Million Close on Oil & Gas Income Fund II
Dallas-based RGP has closed its second oil and gas income fund, RGP Income Fund II, LP, at $175 million, fully subscribed, the private investment firm said in a statement. The close more than triples the size of RGP Income Fund I, LP, which closed at $50 million in 2023.
RGPIF II completed four acquisitions during its investment period – Florentia, Copia, Fortis, and CHT – spanning more than 140,000 net acres across five states, according to Brandi Van Loon, RGP’s co-founder and manager. The states are Texas, Oklahoma, New Mexico, Kansas, and Alabama, with production concentrated primarily in the Permian and Fort Worth basins, the company said.
The fund holds working interests directly in the underlying properties, while investors hold general and limited partnership units in the fund itself, according to the firm. The portfolio is a mix of operated and non-operated assets, with a majority operated by R2Q Operating, an RGP affiliate. RGP said the fund carries no outstanding debt.
The $175 million has been fully called, according to RGP, with remaining working capital to be deployed by the end of 2026. The capital was raised through broker-dealers and registered investment advisers rather than directly from RGP’s existing limited partner base, the company said.
RGP had raised roughly $159.09 million as of Aug. 6, according to its most recent filing with the U.S. Securities and Exchange Commission. The company said the fund’s final closing came Aug. 28 at the full $175 million and that it will update the filing within the allowed amendment window set by the SEC.
“With RGP Income Fund II now fully funded at $175 million, our focus remains on the execution and development of the Fund’s portfolio,” Van Loon said. “We believe these acquisitions were completed at attractive entry points relative to our underwriting criteria and provide a combination of existing production and value-add development opportunities consistent with the Fund’s investment strategy.”
Van Loon said the company is preparing to launch a third fund in the series that will apply the same acquisition and underwriting approach.
RGP describes itself as a private investment firm focused on acquiring and revitalizing income-generating, long-life domestic oil and gas properties through disciplined operations and vertical integration. Interests in RGPIF II were offered only to accredited investors in a private placement under Regulation D and were not registered under the Securities Act of 1933.
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