Daniel Revers of ArcLight on Energy

Private equity is in “the front seat” of today’s booming oil and gas market, according to Daniel Revers, Managing Partner at energy-focused private equity firm ArcLight Capital Partners. While competition has increased as GP after GP has entered the energy space, the “opportunity set has exploded” for investing in energy assets.

In a fascinating conversation with Privcap, Revers discusses why his firm has moved away from power assets in favor of oil and gas opportunities; how more and more LPs are growing interested in the space; and why energy investing requires a combination of different alterative investment strategies. He also reveals what separates GPs with deep expertise from ones that are more likely to participate–and overpay–in auctions; explains why politics is his “least favorite risk;” and outlines the perils of interstate pipelines.