Enterprise Completes Acquisition of Piñon Midstream

Enterprise Products Partners (EPD) has completed its $950 million cash deal for Piñon Midstream, a company focused on sour-gas processing in southeastern New Mexico.

Piñon was formerly part of Black Bay Energy Capital’s portfolio. The companies, both based in Houston, announced the deal in August.

Piñon’s acid gas injection system is located in Lea County, New Mexico. It’s the largest processing facility in an area of growing oil and gas production and injects gas about 18,000 ft below the surface. The Environmental Protection Agency has permitted two wells at the site for a total of 20 MMcf/d of CO₂ and hydrogen sulfide injection.