[Context: On September 19, Energy Spectrum-backed Taproot Energy signed a midstream agreement with Carnelian Energy-backed Bison Oil & Gas II. Further details and related links are below.]
Taproot Energy Partners LLC Secures Additional Acreage Dedication to Expand Its Midstream System in the DJ Basin
DENVER–September 19, 2018–(BUSINESS WIRE)–Taproot Energy Partners LLC announced today that its affiliate, Taproot Rockies Midstream LLC (“Taproot”), has executed agreements with a major area operator to expand its multi-product midstream system in central Weld County, Colorado. The substantial acreage dedication to Taproot is a strategic bolt-on opportunity to the existing system currently under construction and supports the initial acreage dedication with Bison Oil & Gas II, LLC (“Bison”).
The Taproot produced water gathering system is currently in service, providing pipeline access to a disposal facility. Taproot is on schedule to have the remaining multi-product system completed and in service in the fourth quarter of 2018. Crude oil will be gathered and transported to Tallgrass’ Pony Express Pipeline at the Buckingham Terminal, with access to several Midwest refiners and the market center in Cushing, Oklahoma. Development of the fresh water supply and delivery system is underway and will be available to supply multiple area completions by late November 2018. Taproot CEO Kevin Sullivan said, “We are excited to continue the expansion of our midstream infrastructure in Weld County to support the growing need for innovative and cost-effective midstream solutions for producers in the northeast DJ Basin.”
Taproot provides a complete line of midstream services to DJ Basin producers and plans continued expansion of the initial pipeline assets into other prolific areas of the basin. “We look forward to growing alongside our dedicated producer clients as their drilling activity ramps up over the next 6 to 12 months. It’s an exciting time to align and contract with producers who have already seen exceptional results from their initial wells in the area,” said Rod Donovan, COO of Taproot.
About Taproot Energy Partners LLC
Based in Denver, Colorado, Taproot is a midstream company led by an experienced management team with extensive prior success in creating long-term value for its producer customers. Taproot management brings a full suite of skills to partner with producers in providing all necessary midstream services. Capabilities include natural gas gathering, compression, treating and processing, crude oil gathering and transportation, produced water disposal, fresh water supply, condensate treating/blending and natural gas liquids products marketing. Taproot is backed by Energy Spectrum Partners VII LP, based in Dallas, Texas.
About Bison Oil & Gas II, LLC
Based in Denver, Colorado, Bison Oil & Gas II, LLC is a privately-held exploration and production company with operations focused in Weld County, Colorado. Prior to Bison II, the management team successfully built and monetized assets in Adams and Arapahoe counties, Colorado, through Bison II’s predecessor, Bison Oil & Gas, LLC. Bison is backed by Carnelian Energy Capital Management, L.P., an energy investment firm based in Houston, Texas.
About Energy Spectrum Capital
Based in Dallas, Texas, Energy Spectrum Capital is a midstream-focused private equity firm that has raised over $3.5 billion in capital commitments focused on investing in North America’s energy infrastructure. Since its inception in 1995, Energy Spectrum has sponsored over 60 portfolio companies.