On March 13, 2024, Kimmeridge Energy Management Company, LLC announced that it has delivered to SilverBow Resources, Inc. Board of Directors a proposal to combine Kimmeridge Texas Gas and SilverBow Resources. Kimmeridge Energy Management stated that Kimmeridge Texas Gas assets have an equity value of $1.1 billion and an expected enterprise value of $1.4 billion at closing of the proposed transaction. Kimmeridge Energy Management added that under the terms of the proposal, Kimmeridge Energy Management would contribute Kimmeridge Texas Gas assets to the Company in exchange for 32.4 million shares priced at $34 per share.

In addition, Kimmeridge Energy Management stated that it would inject $500 million of fresh equity capital at the same price of $34 per share, in exchange for 14.7 million shares. At closing of the proposed transaction, Kimmeridge Energy Management and its affiliates would own a majority of the outstanding shares of the combined company, with a total of 50.3 million shares of common stock (inclusive of Kimmeridge's current 3.3 million share position in the Company). Kimmeridge Energy Management also stated that it urges the Company Board to engage in good faith negotiations and provide shareholders the opportunity to vote on its proposal and to host investor conference call to discuss its proposal on March 14, 2024.