The $209.7 billion State Board of Administration of Florida has committed a total of $125 million to two energy funds, according to the pension fund’s fourth quarter 2017 report.
The two commitments include $65 million to EnCap Flatrock Midstream Fund IV, managed by EnCap Investments, and $60 million to Post Oak Energy IV, managed by Post Oak Energy Partners.
EnCap Flatrock Midstream Fund IV is an infrastructure fund that invests in energy assets. In 2008, EnCap Investments and Flatrock Energy Advisors joined together in a long-term partnership to create EnCap Flatrock Midstream, a series of venture capital funds to invest in the midstream sector of the North American energy space. More specifically, the fund series pursues attractive investment opportunities in natural gas gathering, treating, compression, processing and storage operations, crude oil gathering and transportation, and produced water handling and disposal, among other investments.
The first of these funds, Encap Flatrock Midstream Fund I, closed in April 2010 with institutional-investor commitments totaling $791.6 million. Fund II closed in July 2012 with $1.75 billion of limited-partner capital commitments. Fund III closed in May 2014 with $3 billion of limited-partner capital commitments.
The second fund, Post Oak Energy IV, held a $600 million close in fourth quarter 2017. The fund will pursue the same strategy as the first three funds in the series (Post Oak Energy Partners, Post Oak Energy Partners II and Post Oak Energy Partners III) with equity investments in North American oil and gas companies, oilfield services, and related infrastructure. Funding from Post Oak will continue to be used for growth capital, development acceleration, acquisitions and recapitalization purposes.
