Navitas Midstream Partners LLC said Sept. 1 it acquired natural gas gathering and processing assets in the Midland Basin from a subsidiary of Denver-based DCP Midstream LLC. The terms of the transaction weren't disclosed.
The assets serve Martin, Midland and Glasscock counties, Texas. They include about 1,000 miles of low and high pressure natural gas gathering pipelines and a cryogenic processing plant. The plant has capacity in excess of 60 million cubic feet per day.
“We are excited to acquire such an extensive footprint, which is in the core of the Midland Basin and will provide the foundation for additional growth opportunities,” said R. Bruce Northcutt, founder and CEO of Navitas, in a statement.
The Woodlands, Texas-based company plans to revitalize the assets through an extensive capital program designed to improve system capacity and efficiencies, Northcutt said.
"We intend to leverage our management team’s experience in the Permian Basin to find the best solutions for customers,” he said.
The acquisition was financed with equity from Warburg Pincus, Navitas’ private equity sponsor.
Recommended Reading
Dividends Declared Week of Nov. 18
2024-11-22 - Here is a compilation of dividends declared in the week of Nov. 18 from select upstream and service and supply companies for fourth-quarter 2024.
Exclusive: Why Family Offices Favor ‘Lower-Risk’ Oil, Gas Investments
2024-11-22 - Evan Smith, Stephens’ senior vice president for investment banking, describes growth in the company’s network of family offices, specifically those investing in the energy sector, in this Hart Energy Exclusive interview.
Energy Sector Sees Dramatic Increase in Private Equity Funding
2024-11-21 - In a 10-day period, private equity firms announced almost $20 billion in energy funding. Is an end in sight for the fossil fuel capital drought?
Expand Energy Announces $500MM Tender Offer for 2026 Notes
2024-11-20 - Expand also issued a conditional notice of redemption for all of its outstanding 8.375% Senior Notes due 2028.
Vistra to Offer Senior Notes for Equity Interest Repayment
2024-11-19 - Vistra Corp. said the proceeds from the offer will be used toward an early payout for the installment purchase of Avenue Capital Management II’s interest in Vistra Vision.