Santa Fe Midstream LLC (“Santa Fe”) today announced plans to form
a joint venture with Vermilion Cliffs Partners, LLC (“Vermilion”) to
develop crude oil, natural gas and water midstream infrastructure in the
Delaware Basin in Reeves and Culberson counties in West Texas. Vermilion
will contribute a 20” natural gas pipeline and associated facilities in
Culberson County and dedicate acreage to the joint venture. Santa Fe
will supply the additional capital required to construct gathering
pipelines as well as a new 200 MMcfd cryogenic gas processing plant in
Culberson County. Santa Fe will be the operator of the midstream assets.
Due to the ongoing growth and development of the Delaware Basin,
significant capital investment in new midstream infrastructure is needed
in Reeves and Culberson counties. The Santa Fe - Vermilion joint venture
will offer natural gas gathering and processing, crude oil gathering and
produced water gathering to disposal wells for producers in the Delaware
Basin. Natural gas residue will be delivered to downstream interstate
and intrastate pipelines serving Mexican, Western U.S. and Texas markets
and NGL’s will be delivered to pipelines for transportation and
fractionation at Mont Belvieu, Texas. These facilities will meet a
critical need for midstream services in the rapidly expanding central
and southern sections of the Delaware Basin.
“This joint venture will provide superior midstream solutions for
producers in Culberson and Reeves counties,” said Santa Fe’s Founder and
Managing Partner, Amer Rathore. “In addition, we look forward to working
with Vermilion Cliffs Partners to utilize their vast experience in both
the upstream and midstream sides of the business,” said Cliff Rupnow,
Santa Fe’s Managing Partner and VP of Commercial.
Jeff Cook, a founding partner of Vermilion, said, “The Santa Fe -
Vermilion midstream joint venture is well positioned to deliver
exceptional service and flexibility for producers in the southern
Delaware Basin. Vermilion Cliffs Partners is honored to join the fine
team at Santa Fe Midstream to pursue this venture.”
For inquiries about natural gas gathering and processing, crude oil
gathering or produced water disposal contact Cliff Rupnow at (214)
308-9623 or (817) 239-5547 for more information.
About Santa Fe Midstream LLC
Based in Plano, Texas, Santa Fe Midstream is a creative midstream
company led by an experienced and successful management team. Santa Fe
is dedicated to creating value for our customers as we partner with them
in providing a full menu of midstream services. Our capabilities include
natural gas gathering, compression, treating and processing, crude oil
gathering and transportation, produced water handling, as well as
condensate and NGL products marketing. Santa Fe Midstream is backed by
Energy Spectrum Capital’s fund Energy Spectrum Partners VII LP.
Visit our website at www.santafemidstream.com for
more information.
About Vermilion Cliffs Partners, LLC
http://vermilioncp.com/index.html
About Energy Spectrum Capital
Energy Spectrum Capital is a midstream-focused private equity firm that
has raised over $3.5 billion in capital commitments focused on investing
in North America’s energy infrastructure. Since its inception in 1996,
Energy Spectrum has sponsored over 50 portfolio companies.
www.energyspectrumcapital.com
View source version on businesswire.com: http://www.businesswire.com/news/home/20170123005636/en/
Copyright Business Wire 2017
Source: Business Wire
(January 23, 2017 - 9:54 AM EST)
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