Beginning with this issue, Hart Energy is pleased to launch its newest publication—Midstream Business. We think it’s a “must read” for everyone involved in the business and financing of pipelines, processing, storage, technology, construction and the new trends in this sector.

So, why Midstream Business, and why now? Because business is booming. First, during the past year, the energy industry, including operators, service and supply companies and many of the capital providers, have built, or are in the process of building, new midstream segments in their own companies. We’ve seen new midstream groups imbedded in analyst firms, private-equity providers, commercial lenders and investment banks. We’ve talked to upstream operating companies that have formed midstream business segments, not the least of which is Chesapeake Energy Corp.’s new midstream group.

In fact, even the smaller producers without the manpower to build their own gathering are forming joint ventures with other operators and, in many cases, private-equity partners, to create gathering companies to serve specific regions, especially in the shale-gas plays.

Elsewhere, well-established midstream companies are expanding their systems, adding pipes, compression, new liquids processing and even new storage capacity for both oil and gas. Others are building completely new systems as shale-gas production begins to have a visible impact on gas flow directions across the U.S. Also, we see a renewed popularity of gas liquids, the new “it” fuel substitute for oil derivatives, being driven by oil-price inclines and the relative price of natural gas liquids.

Second, we see a significant uptick in mergers, acquisition and divestitures of existing midstream assets trading hands. New deals are announced every week. Major producers are selling gathering systems to pipeline companies because they want to reinvest in more-bang-for-your-buck exploration and production, and pipeline operators want the assets because they can manage them better, faster and cheaper, and they satisfy the MLP investors, who want a healthy income with low-risk. Everybody wins.

And third, there is a lot of “new” in the industry. New regulations, new technologies, new software, new employees replacing retirees, new management processes and systems, new construction tools, new projects, and new learning curves.

So, we ask, who better to bring you the news, as a monthly magazine and as a daily update on our website, than the Hart Energy editors who brought you Oil and Gas Investor, a magazine that was launched 30 years ago in response to the industry’s demand for business information in the upstream sector?

Now, here we go, and we’re glad you joined us. This is your magazine, and we want to hear from you about anything, anytime. Our

editors’ contact details are on the masthead, so please write, e-mail, call, tweet, or text us. We want to know more about what you think, want you want and what keeps you up at night.

Also, we hope to see you at our second annual Marcellus Midstream Conference and Exhibition, which will be held in Pittsburgh, Pennsylvania, from March 21 to 23. See marcellusmidstream.com for details.

Comments