EnLink acquires Coronado Midstream for $600m

EnLink Midstream Partners and EnLink Midstream (together EnLink) have acquired Coronado Midstream for about $600m.

Coronado Midstream was established by a group of independent producers and partners, including Reliance Energy, Wexford Capital, Gulfport Energy, Wallace Family Partnership and Ted Collins, Jr.

It owns natural gas gathering and processing facilities in the Permian Basin and operates three cryogenic gas processing plants and a 270-mile gas gathering system in the North Midland Basin.

Construction of a further 100 MMcf/d of processing capacity and gathering system expansions of the Coronado system are presently in progress.

EnLink aims to link the Coronado system with its Bearkat system to create a multi-county gas gathering and processing system.

EnLink president and chief executive officer Barry Davis said: "The Permian Basin remains a strong and significant growth area for EnLink.

"We have identified and executed on strategic growth opportunities to expand our asset base in the region through over $1 billion of capital invested since 2011."

EnLink now owns and operates about 360 miles of gas gathering pipelines, around 300 MMcf/d of processing capacity as well as crude trucking and logistics services extending through seven counties in the Midland Basin.

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Image: EnLink Midstream’s asset footprint in West Texas. Photo: Courtesy of Business Wire.