Exterran Partners acquires MidCon’s natural gas compression assets

Exterran Partners has acquired natural gas compression assets from Chesapeake Energy subsidiary MidCon Compression for $135m.

The acquired assets include 162 compression units, which are currently being utilised to offer compression services in Arkansas’ Fayetteville Shale.

The acquisition, funded under Exterran Partners’ revolving credit facility, adds about 110,000 horsepower, the majority of which is under a five-year contract operations services agreement.

The Omnibus agreement between Exterran Partners and Exterran Holdings was not amended to adjust the caps on operating costs or selling, general and administrative costs as a result of the transaction.

Exterran Partners offers natural gas contract compression services to customers in the US.

Exterran Holdings owns an equity interest in Exterran Partners, including all of the general partner interest.

MidCon Compression provides Chesapeake Energy with gas compressor equipment and related services including compression sizing, field operations, training and compressor fleet management.

The company’s operating areas include Oklahoma, Texas, New Mexico, Kansas, Arkansas, Louisiana, West Virginia, Virginia and Kentucky.