• $500M Fund Launched: NGP Sustainable Real Assets (NGP SRA) aims to drive clean energy project development.
• Strategic Investments: Focus on clean power, fuels, carbon, transportation, and critical minerals.
• Proven Expertise: NGP’s track record in energy sector investment supports the fund’s ambitious goals.

NGP has launched NGP Sustainable Real Assets, LLC, securing approximately $500 million from NGP’s Energy Transition IV fund and co-investors. NGP SRA focuses on developing clean energy assets, including power, fuels, carbon, transportation, and critical minerals.

Investment Strategy

“Our strategy with NGP SRA combines NGP’s 35-year track record of partnership-oriented investing, having backed more than 300 development platforms across the energy sector, with our firm’s significant capital, expertise and resources dedicated to the energy transition,” said Chris Carter, NGP’s Managing Partner. “We see a big opportunity to deploy an investment model NGP has honed over the last three decades into these attractive clean energy subsectors.”

Phil Deutch, NGP Partner and Energy Transition Fund Head, emphasized the firm’s pioneering role: “More than three decades ago, NGP pioneered the investment model that now dominates traditional energy project development. We are excited to commit our experience and capital to advancing energy transition projects while seeking attractive risk-adjusted returns for our investors.”

Meeting Market Demands

Sam Stoutner, NGP Partner, highlighted the market need: “We continue to see a mismatch between the supply of high-quality, shovel-ready clean energy projects, and the capital to build, finance and own those projects. In NGP SRA, we will focus on backing teams and projects earlier in their lifecycle and working with management to build scaled, diversified, derisked projects and platforms that can ultimately be handed off to lower-cost, longer-term pools of capital.”

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Initial Investments

NGP SRA has already closed investments in three platform companies:

1. Segue Renewables II, LLC: Focuses on development-stage energy transition projects and enabling infrastructure. Segue provides capital and expertise to originate, de-risk, optimize, and monetize projects.
2. Cloverleaf Infrastructure, LLC: Develops clean-powered, ready-to-build sites for large electric loads, collaborating with U.S. utilities and data center operators.
3. CO280 Solutions, Inc.: Leads in Carbon Dioxide Removal projects within the pulp and paper industry, developing projects that provide permanent, verifiable, and affordable carbon removal credits.