Evolution Midstream completes Rowdy gas gathering system acquisition in US
Evolution Midstream has completed the previously announced acquisition of the Rowdy gas gathering system in the heart of Wyoming’s Powder River Basin, US, from Lucid Energy Group.
The Rowdy System serves oil and gas producers in Campbell, Converse and Johnson counties.
The companies have signed an agreement last month in relation to the acquisition.
Now that the deal is completed, Evolution is planning to expand the system’s reach and capacity by adding treating and processing infrastructure.
Evolution Midstream CEO Raj Basi said: "As a result of closing this transaction, Evolution now operates approximately 1,000 miles of gas gathering lines and 43,700 horsepower of compression.
“Our goal is to leverage our experience to expand the system with infrastructure that meets producer needs and offers maximum optionality and the highest possible netbacks.”
The company is looking to develop a comprehensive gas gathering, treating and processing solution in the area and additionally planning to develop a crude oil gathering system.
In August 2015, Evolution secured an investment of $300m from private equity firm EnCap Flatrock Midstream to carry out its business operations.
The company offers integrated midstream solutions to oil and gas producers operating across North America, and is focused on acquisition opportunities in the Rockies, Bakken Shale, Permian Basin, Mid-Continent and Appalachia.
Its services include natural gas gathering, processing, treating and compression, crude oil gathering, transportation and marketing, among others.