Acquisition establishes leading Western Canadian light oil platform; experienced energy executive Paul Smith appointed CEO
Calgary, Canada, 14 September 2026 – Avenrock Energy Inc. (“Avenrock”), a newly formed Canadian energy company backed by global investment firm Carlyle (NASDAQ: CG), today announced that it has agreed to acquire Parallax Energy Operating Inc. (“Parallax”) from Carnelian Energy Capital (“Carnelian”), establishing a significant new light oil platform in Western Canada. Parallax owns and operates a 75% working interest in a portfolio of exploration and production (“E&P”) assets in the East Shale Duvernay in Alberta. The transaction is subject to customary closing conditions and regulatory approvals.
Headquartered in Calgary, Parallax is an established Western Canadian E&P company operating in the East Shale Duvernay in Alberta, with approximately 300,000 gross acres and a substantial production base focused predominantly on light oil and natural gas liquids. The company’s operations are supported by an extensive owned infrastructure network, including oil batteries, gas processing and water disposal facilities. Parallax has an established operating track record across the East Shale Duvernay, with a portfolio of producing assets and attractive future development opportunities.
Through the acquisition, Avenrock will establish a significant operating presence in Western Canada, with a focus on the continued development of the asset base to build out a leading Western Canadian light oil platform. Avenrock will be led by Paul Smith, former CFO and Board Director at Vesta Energy prior to its acquisition by Parallax, and ex-CFO of Talisman and Wintershall Dea, who brings deep knowledge of the asset and extensive experience developing energy businesses in the region.
Equity for the transaction will come from the Carlyle International Energy Partners (“CIEP”) platform, which focuses on energy investment opportunities globally. The investment builds on CIEP’s presence in Western Canada, following its investment in Cygnet Energy to support its acquisition and delisting of Kiwetinohk Energy in 2025. Carlyle sees significant long-term potential in Western Canada, underpinned by the region’s high-quality, long-duration resource base, improving access to end markets and continued investment across the sector.
Paul Smith, CEO of Avenrock, said: “I am delighted to lead Avenrock and excited by the opportunity ahead. Significant progress has been made across the asset base and we see considerable potential to accelerate development and build a significant light oil business. With Carlyle’s deep energy expertise, we look forward to growing our position in the East Shale Duvernay and pursuing further opportunities across the portfolio.”
Parminder Singh, a Managing Director of CIEP, said: “Western Canada continues to offer compelling opportunities to invest behind high-quality energy businesses with significant long-term potential. We are pleased to establish Avenrock and partner with Paul, whose deep knowledge of the asset and experience in the region will be important as we look to scale the platform. We look forward to bringing Carlyle’s deep sector expertise and global resources to support continued investment in the portfolio, drive operational excellence and capture the opportunities we see across the region.”
BMO Capital Markets acted as exclusive financial advisor and Torys LLP acted as legal advisor to Carlyle and Avenrock on the transaction.
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About Carlyle
Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across three business segments: Global Private Equity, Global Credit and Carlyle AlpInvest. With $485 billion of assets under management as of June 30, 2026, Carlyle’s purpose is to connect people, ideas and capital to fuel growth for companies and performance for investors. Carlyle employs more than 2,500 people in 28 offices across four continents. Further information is available at www.carlyle.com. Follow Carlyle on X at @OneCarlyle and LinkedIn at The Carlyle Group.
Media Contacts
Carlyle
Charlie Bristow
Charlie.Bristow@carlyle.com
+44 7384 513568
Paul Smith
Paul Smith is an international energy executive with more than 30 years’ experience leading complex, multinational businesses across finance, operations, strategy, M&A and the energy transition. Most recently, he served as CFO, EVP Carbon Management and Hydrogen, and Executive Board Member at Wintershall Dea, where he helped lead the company’s strategic sale to Harbour Energy. His career includes senior leadership roles at Vesta Energy, Talisman Energy, and BP, with responsibility for major P&Ls, large-scale capital programmes and transformative transactions across Europe, North America, Russia and the Caribbean. A British-Canadian national, Smith is an experienced board director and audit chair, with a first-class degree in Economics from Heriot-Watt University.