Houston: Caturus today announced it has entered into a definitive agreement with SM Energy Company (SM) to acquire SM's Galvan Ranch assets. The acquisition includes approximately 60,000 net acres in South Texas and ~250 MMcfe/d of production from 260 producing wells (as of December 2025), with total proforma net production of ~950 MMcfe/d at the time of closing. Caturus continues its growth trajectory towards becoming one of the largest independent natural gas producers in the United States.
According to Emirates News Agency, the acquisition of these well-positioned assets is a significant step for Caturus, enhancing its operational scale across the Gulf Coast. David Lawler, Chief Executive Officer of Caturus, stated that the Galvan Ranch notably expands their footprint in the Eagle Ford and Austin Chalk, offering more than a decade of drilling inventory across wet and dry gas windows, with additional potential. Located adjacent to Caturus' westernmost operations, the assets include a large position in the Webb County Core and existing infrastructure supporting long-term, capital-efficient development.
With the acquisition of the Galvan Ranch assets, Caturus will hold over 275,000 net acres across the Gulf Coast. The assets, combined with Caturus' recent entry into the Haynesville through a development agreement with Black Stone Minerals, position the company to deliver low-nitrogen natural gas to key LNG hubs at Gillis and Agua Dulce.
The announcement follows progress at Commonwealth LNG, Caturus' wholly owned 9.5 Mtpa export facility near Cameron, Louisiana. Commonwealth has executed 7 Mtpa of long-term natural gas offtake agreements with several major companies, including Mercuria, Aramco Trading, and Glencore. Caturus has issued a Limited Notice to Proceed (LNTP3) to its EPC partner, Technip, as the project advances toward a Final Investment Decision in Q1 2026.
These assets position Caturus to implement its wellhead-to-water strategy, aiming to be the leading fully integrated natural gas producer in North America. The Galvan Ranch transaction is expected to close in Q2 2026, pending customary conditions and regulatory approvals.
BofA Securities, Inc. is serving as the exclusive financial advisor to Caturus, while Bank of America is the sole provider of committed debt financing. Kirkland and Ellis LLP is acting as legal counsel to Caturus, with Paul Hastings LLP serving as legal counsel to Bank of America for the committed debt financing.