Upstream producers Concho Resources Inc. and WPX Energy Inc. are cashing in their stakes in the largest privately-held midstream crude operator in the Permian Basin as part of Stonepeak Infrastructure Partners’ multibillion-dollar takeout on April 2 of Oryx Midstream.
Midland, Texas-based Oryx Midstream owns and operates a crude oil gathering and transportation system—the Oryx I and Oryx II—comprising 2.1 million barrels of storage and about 1,200 miles of in-service and under-construction pipeline. The company’s system spans eight counties in Texas and two in New Mexico, representing a footprint across the core of the Delaware Basin.
Stonepeak, an infrastructure-focused private equity firm, said April 2 it had agreed to buy substantially all of the assets of Oryx for roughly $3.6 billion in cash. Investors in Oryx include affiliates of Quantum Energy Partners, Post Oak Energy Capital, Concho Resources and WPX Energy, according to the Stonepeak press release.
This post appeared first on Hart Energy.