REG-Diversified Energy and Carlyle Enter Strategic Partnership to Invest in Up to $2 Billion of PDP Energy Assets

Diversified EnergyAnnouncement

24/06/2025 07:02

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BIRMINGHAM, Ala. and NEW YORK, June 24, 2025 (GLOBE NEWSWIRE) -- Diversified
Energy Company PLC (LSE: DEC; NYSE: DEC) ("Diversified," or "DEC"), a leading
publicly traded natural gas and liquids production company, and global
investment firm Carlyle (NASDAQ: CG) have today announced a strategic
partnership to invest in up to $2 billion in existing proved developed
producing (PDP) natural gas and oil assets across the United States.

This exclusive partnership will combine Carlyle’s deep credit and
structuring expertise, led by Carlyle’s asset-backed finance (ABF) team,
with Diversified’s market-leading operating capabilities and differentiated
business model of acquiring and optimizing portfolios of existing long-life
oil and gas assets to generate reliable production and consistent cash flow.

The partnership enhances Diversified’s access to capital in an attractive
acquisition market. Under the terms of the agreement, Diversified will serve
as the operator and servicer of the newly acquired assets. As investments
occur, Carlyle intends to pursue opportunities to securitize these assets,
seeking to unlock long-term, resilient financing for this critical segment of
the nation’s energy infrastructure.

“We are excited to partner with Carlyle, a leader in the asset-backed
finance space. This arrangement significantly enhances our ability to pursue
and scale strategic acquisitions in what we believe is a highly compelling
environment for PDP asset consolidation,” said Rusty Hutson, Jr., CEO of
Diversified Energy. “We continue to see a robust pipeline of opportunities
and the growing need for operational scale and efficiency. With Carlyle’s
support, we are well-positioned to capitalize on these trends while aiming to
generate sustainable cash flow and value for our shareholders.”

“Diversified is a leading operator of long-life energy assets and a pioneer
in bringing PDP securitizations to institutional markets,” said Akhil
Bansal, Head of Asset-Backed Finance at Carlyle. “We are excited to bring
institutional capital to high-quality, cash-yielding energy assets that are
core to US domestic energy production and energy security. This partnership
underscores Carlyle’s ability to originate differentiated investment
opportunities through proprietary sourcing channels and seek access to stable,
yield-oriented energy exposure.”

Carlyle Asset-Backed Finance (“Carlyle ABF”) is a group within Carlyle’s
Global Credit platform focused on private fixed income and asset-backed
investments. The highly experienced team leverages the knowledge, sourcing,
structuring, and breadth of the entire Carlyle investment platform to help
deliver tailored asset-focused financing solutions to businesses, specialty
finance companies, banks, asset managers, and other originators and owners of
diversified pools of assets. Carlyle ABF has deployed approximately $8 billion
since 2021 and has approximately $9 billion in assets under management as of
March 31, 2025.

About Diversified Energy Company PLC
Diversified is a leading publicly traded energy company focused on natural gas
and liquids production, transport, marketing, and well retirement. Through our
differentiated strategy, we acquire existing, long-life assets and invest in
them to improve environmental and operational performance until retiring those
assets in a safe and environmentally secure manner. Recognized by ratings
agencies and organizations for our sustainability leadership, this
solutions-oriented, stewardship approach makes Diversified the Right Company
at the Right Time to responsibly produce energy, deliver reliable free cash
flow, and generate shareholder value.

About Carlyle
Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise
that deploys private capital across its business and conducts its operations
through three business segments: Global Private Equity, Global Credit, and
Carlyle AlpInvest. With $453 billion of assets under management as of March
31, 2025, Carlyle’s purpose is to invest wisely and create value on behalf
of its investors, portfolio companies, and the communities in which we live
and invest. Carlyle employs more than 2,300 people in 29 offices across four
continents. Further information is available at www.carlyle.com. Follow
Carlyle on X @OneCarlyle and LinkedIn at The Carlyle Group

Media Contacts

Diversified Energy Company PLC
Doug Kris 
Senior Vice President, Investor Relations & Corporate Communications
(973) 856 2757
dkris@dgoc.com

Carlyle
Kristen Ashton
Corporate Communications
(212) 813-4763
Kristen.ashton@carlyle.com

Forward-Looking Statements
This announcement contains forward-looking statements, including statements
regarding the expected results of the strategic partnership and future
results, which speak only as of the date of this release. They reflect
Diversified's current expectations and are based on assumptions and subject to
risks and uncertainties that may cause actual results to differ materially,
including the factors described in Diversified’s filings with
the U.S. Securities and Exchange Commission.