$1.25bn target for second First Reserve infra offering

Fundraising for First Reserve Energy Infrastructure Fund II has commenced.

First Reserve Corporation is set to begin fundraising for a billion dollar investment vehicle dedicated to energy infrastructure.

The Connecticut-based fund manager is endeavoring to collect $1.25 billion for First Reserve Energy Infrastructure Fund II (FREIF II), sources familiar with the fundraising told Infrastructure Investor. A spokeswoman for Prosek Partners, a public relations agency representing First Reserve, declined to comment on the incipient fund.

FREIF II is the latest offering from First Reserve to invest in the ‘midstream’ sector—or infrastructure built to process, store and transport electric power, gas and oil, as well as wind and solar power.

It follows First Reserve Energy Infrastructure Fund I (FREIF I), which closed in 2011 collecting $1.2 billion from the likes of the California Teachers’ Retirement System, Maine Public Employees Retirement System and the Teacher Retirement System of Texas.

FREIF I partnered with Renovalia Energy in 2011 for joint venture (JV) ‘Renovalia Reserve,’ which made its first wind farm investment in Mexico in April.

Last autumn, FREIF I invested $150 million to form JV Caliber Midstream Partners, a Denver-based limited partnership formed with Triangle Petroleum Corporation to focus on midstream and infrastructure opportunities in the Williston Basin, a petroleum-rich region spanning North Dakota and Montana.