EnLink Midstream Acquires Full Ownership of the Deadwood Processing Facility Located in the Permian Basin
EnLink Midstream Partners, LP (NYSE: ENLK) (“EnLink” or the
“Partnership”) today announced that its subsidiary has acquired a
50-percent ownership interest in the Deadwood natural gas processing
facility from a subsidiary of Apache Corporation (NYSE: APA) (“Apache”).
The cost of the accretive acquisition was approximately $40 million.
The facility is located in Glasscock County, Texas in the Permian Basin.
Pursuant to a 2011 agreement, EnLink and Apache jointly funded the
development of a new-build processing facility in which each company
held a 50-percent undivided ownership interest. EnLink managed the
plant’s initial construction and has operated the facility since its
startup. The plant has a capacity of 58 million cubic feet per day
(MMcf/d), and is currently processing approximately 45 MMcf/d. The
acquisition brings EnLink’s net processing capacity in the Permian Basin
to 343 MMcf/d, excluding the Riptide processing plant, which is
currently under construction and will add another 100 MMcf/d of
processing capacity in the Midland Basin.
“We consider the Deadwood facility to be an important piece of our
growing infrastructure in the Permian Basin,” said Barry E. Davis,
EnLink Midstream President and Chief Executive Officer. “By obtaining
full ownership of the Deadwood processing facility, EnLink is able to
enhance its presence in the Midland Basin, which is one of the most
economic regions for oil and gas production in the U.S. We remain
confident in our ability to execute on additional growth opportunities
from our diverse platform of assets and services in this key growth
About the EnLink Midstream Companies
EnLink Midstream is a leading, integrated midstream company with a
diverse geographic footprint and a strong financial foundation,
delivering tailored customer solutions for sustainable growth. EnLink
Midstream is publicly traded through two entities: EnLink Midstream,
LLC (NYSE: ENLC), the publicly traded general partner entity, and EnLink
Midstream Partners, LP (NYSE: ENLK), the master limited partnership.
EnLink Midstream’s assets are located in many of North America’s premier
oil and gas regions, including the Barnett Shale, Permian
Basin, Cana-Woodford Shale, Arkoma-Woodford Shale, Eagle Ford Shale,
Haynesville Shale, Gulf Coast region, Utica Shale and Marcellus Shale.
Based in Dallas, Texas, EnLink Midstream’s assets include over 9,200
miles of gathering and transportation pipelines, 17 processing plants
with 3.6 billion cubic feet per day of processing capacity, seven
fractionators with 280,000 barrels per day of fractionation capacity, as
well as barge and rail terminals, product storage facilities, purchase
and marketing capabilities, brine disposal wells, an extensive crude oil
trucking fleet and equity investments in certain private midstream
Additional information about the EnLink Midstream companies can be found
View source version on businesswire.com: http://www.businesswire.com/news/home/20151116005442/en/
Copyright Business Wire 2015
Source: Business Wire
(November 16, 2015 - 8:00 AM EST)
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