Carnelian Energy Capital is a Houston-based private equity firm founded in 2015, focusing on investments in North American energy companies. Managing about $4 billion of cumulative capital commitments, the firm closed its latest fund at $975 million in early 2024. With a team of roughly 19 professionals, Carnelian has supported more than thirty portfolio companies through fourteen primary equity investments. It maintains a track record of adding value across traditional energy sectors by combining petroleum industry expertise with advanced financial structuring skills.
Carnelian directs its capital into upstream oil and gas exploration and production, midstream infrastructure, and oilfield services. Investment selections rely on collaborations with management teams that bring operational experience and local knowledge, ensuring projects meet capital-efficient criteria. The firm has concentrated activities in major regions such as the Delaware Basin and the Eagle Ford Basin, taking part in both acquisitions and development ventures. Through close partnerships and structured financing, Carnelian seeks risk profiles that balance potential returns with measured exposure.
While continuing its focus on conventional energy, Carnelian has shown interest in clean technology investments. In March 2021, the firm backed Peridot Acquisition Corp. II, a SPAC that raised $360 million to support companies developing infrastructure and industrial applications aimed at reducing greenhouse gas emissions and improving climate resilience. This move highlights Carnelian’s approach of maintaining investments across both oil and gas and emerging sustainable energy solutions. Specific battery technology investments are not publicly detailed, but the SPAC involvement indicates a growing engagement with energy storage and related fields.
