Enterprise to Acquire Pinon Midstream for $950M in Cash

WASHINGTON (dpa-AFX) – Enterprise Products Partners LP (EPD), a provider of midstream energy services, announced Wednesday that it has agreed to acquire Piñon Midstream, LLC, a portfolio company of Black Bay Energy Capital, for $950 million in cash.

Piñon Midstream produces and processes natural gas in the heart of the productive eastern flank of the Delaware Basin in New Mexico and Texas.

“These assets accelerate our entry into this region by at least three to four years. These assets are highly complementary to our midstream energy system and provide us with an excellent entry point into the eastern flank of the Delaware Basin so we can expand our natural gas processing footprint,” said AJ “Jim” Teague, co-chief executive officer of Enterprise’s general partner.

The company expects the deal, which is expected to close in the fourth quarter of 2024, to increase distributable cash flow by $0.03 per unit in 2025.

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