[Context:On January 12, Tailwater Capital-backed Silver Creek Midstream announced the acquisition of Red Butte Pipe Line from Merit Energy Company. OGE.com previously reported the acquisition on December 12. Further details and related links are below.]
Silver Creek Midstream, LLC Announces the Acquisition of Crude Oil Gathering, Transportation and Storage Assets Located in the Big Horn and Wind River Basins of Wyoming
DALLAS, Jan. 12, 2018/PRNewswire/ — Silver Creek Midstream, LLC (“Silver Creek Midstream” or “Silver Creek”), a private midstream company located in Irving, Texas, announces the acquisition of Red Butte Pipe Line LLC (“Red Butte”) from Merit Energy Company (“Merit”) on December 28, 2017.
Red Butte is a 530-mile crude oil gathering system with an expansive footprint across the Big Horn and Wind River Basins. Red Butte is anchored by a long-term dedication, and is currently the largest pipeline gathering asset transporting crude oil out of the Big Horn and Wind River Basins to Casper, WY. With the acquisition, Silver Creek Midstream establishes itself as a prominent crude oil midstream service provider in the state of Wyoming, and plans to continue expanding the company’s pipeline assets and service offerings in the state.
“We are very excited to complete the acquisition of the Red Butte Pipeline system, which represents the first acquisition for Silver Creek since our formation in October of 2017. This is a quality asset with stable volumes, and we look forward to working with the team at Merit,” said Patrick Barley, Founder and Chief Executive Officer of Silver Creek Midstream. “Red Butte is a great foundational asset for our company and provides Silver Creek a foothold as we look to expand into other parts of the state.”
Jason Downie, Managing Partner at Tailwater Capital, said, “We are very pleased with the completion of Silver Creek’s Red Butte acquisition, having closed the deal within eight weeks of initial discussions with Merit. This transaction exemplifies the Silver Creek team’s commitment to Wyoming and we look forward to putting more capital to work in and around this asset as well as other midstream opportunities in the state.”
Locke Lord served as exclusive legal advisor on the transaction to Silver Creek Midstream.