MCM Energy Partners Completes Acquisition of Delaware Basin Crude Oil and Natural Gas Assets From Battalion Oil Corporation

MIDLAND, Texas–(BUSINESS WIRE)–MCM Delaware Resources LLC, a subsidiary of MCM Energy Partners (“MCM”), announced today that it has closed the acquisition of crude oil and natural gas assets from Battalion Oil Corporation (“Battalion”). This acquisition represents a significant step in MCM’s strategy to build a premier, multi-bench development platform in the core of the Permian Basin, one of the most economic and robust oil and gas regions in North America.

In conjunction with the closing of the acquisition, MCM entered into a new senior secured credit facility with Valor Upstream Credit Partners II, L.P., a dedicated upstream credit fund managed by Breakwall Capital LP (“Breakwall”) in partnership with Vitol.

Asset Overview

MCM’s newly acquired assets include approximately 6,207 net acres in the West Quito Draw area of Ward County, Texas, in the Southern Delaware Basin. The transaction expands MCM’s position across multiple benches and adds meaningful operated inventory, an established production base, and significant development upside to its existing footprint in Ward County, where it is actively drilling and completing its successful Vulcan program. MCM plans to immediately integrate the Battalion assets into its development program, leveraging its experienced technical team, deep infrastructure knowledge, and ongoing drilling and completion operations in the area.

In addition, MCM continues to advance its Dawson County position in the Midland Basin, providing incremental inventory alongside the company’s core development activity in Ward County.

Management Perspective

“This acquisition marks a significant milestone for our company,” said Miles McPherren, Founder and CEO of MCM Energy Partners. “Through this transaction, we are expanding our core position in Ward County and materially increasing our operated inventory. Our focus is on building a scaled development program in Ward County with repeatable drilling opportunities across multiple zones. We believe this asset, combined with our existing program, positions MCM for meaningful production growth and long-term value creation in the years ahead.”

Daniel Flannery, Managing Partner and President of Breakwall, added, “We are excited to partner with MCM on this acquisition and support the continued development of their asset base across both the Midland and Southern Delaware Basins. This financing combines refinancing, acquisition, and development capital, demonstrating our commitment to providing flexible and tailored growth capital solutions to the upstream sector.”

Jackson Walker LLP served as legal counsel for MCM. Latham & Watkins LLP served as legal counsel for Breakwall. TenOaks Energy Advisors served as financial advisor to Battalion.

About MCM Energy Partners

MCM Energy Partners is a Midland-based independent oil and gas company focused on acquiring, developing, and operating high-quality assets across the Permian Basin. The company is committed to disciplined capital deployment, operational excellence, and building long-term value through scalable resource development. For more information, please visit mcmenergy.com.

About Breakwall Capital LP

Breakwall Capital is a leading energy specialist focused on direct lending capital solutions to middle-market and developing energy companies. As an independent asset manager and employee-owned firm, Breakwall seeks to fill the gap that other financing providers appear reluctant to service. Breakwall is led by Christopher Abbate, Jamie Brodsky, and Daniel Flannery and since 2014, the Breakwall team has built a credit investment franchise that focuses exclusively on energy credit. During its 12-year history, the team has committed approximately $7 billion to energy and energy-related companies or projects across more than 70 transactions. Breakwall is headquartered in New York with offices in Texas and Rhode Island. For more information, please visit Breakwall’s website at www.breakwallcap.com.

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