Shearman and Sterling advised Foundation Minerals (Foundation) as it entered into a Purchase and Sale Agreement with KMF Land (KMF). Pursuant to the Purchase Agreement, Foundation sold all of its mineral interests, overriding royalty interests, oil and gas properties, leases and contracts to KMF for an unadjusted price of approximately $323 million.
Foundation is a portfolio company of Quantum Energy Partners based out of Midland, Texas that was formed to purchase and aggregate mineral and royalty interests.
KMF is a wholly owned subsidiary of Desert Peak Minerals (Desert Peak). Desert Peak merged with Falcon Minerals Corporation (Falcon) and created Sitio Royalties Corporation (Sitio). Sitio is focused on acquiring and managing high-quality oil and gas mineral and royalty interests operated by a diversified set of exploration and production companies.