Exterran Partners LP (NASDAQ: EXLP) announced April 10 it completed its acquisition of compression assets from the subsidiary of Oklahoma City-based Chesapeake Energy Corp. (NYSE: CHK) for $360 million.
Exterran Partners, based in Houston, acquired 337 compression units, with a total horsepower of about 440,000, from MidCon Compression LLC. The assets are currently being used to provide compression services to Access MLP Operating LLC, a subsidiary of Access Midstream Partners LP (NYSE: ACMP).
In connection with the acquisition, Exterran Partners and Access have entered into a seven-year contract operations services agreement under which Exterran Partners will provide contract compression services to Access in regions including the Permian, Eagle Ford, Barnett, Anadarko, Mississippi Lime, Granite Wash, Woodford, Haynesville and Niobrara basins.
The asset acquisition was funded using the proceeds of Exterran Partners’ March equity offering and a portion of its March debt offering.
The omnibus agreement between Exterran Partners and Exterran Holdings Inc. (NYSE: EXH) has been amended to increase the cap on selling, general and administrative costs from $15 million per quarter to $17.7 million per quarter
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