Teak Midstream Eagle Ford Map
Atlas Pipeline Partners has agreed to buy Eagle Ford Midstream assets through a $1 billion acquisition ofTeak Midstream, LLC. Atlas will gain Teak's operated assets and assets that are jointly owned with TexStar Midstream.
Assets acquired in the deal included:
- 200 MMcfd of cryogenic processing plant (Silver Oak)
- 200 MMcfd cryogenic processing facility under construction (Silver Oak II)
- 265 miles of 20" to 24" gathering and residue pipelines with 750 mmcfd of capacity
- 275 miles of low pressure gathering lines
Atlas will also acquire a 50-75% interest in several assets jointly owned with TexStar Midstream. Atlas is expected to operated the assets once the deal closes:
- 235 miles of pipeline, including rich gas gathering, header, and residue pipelines
- 3 miles of NGL pipeline
- A Co-Gen facility, which will produce power for the Silver Oak complex
“We are very excited about the acquisition of TEAK Midstream. We have been looking at the Eagle Ford shale for a number of years and are fortunate to have found what we believe is the ideal entry point. TEAK’s assets are the highest quality and best positioned for growth with minimal capital requirements. The assets are new, highly efficient, and are located in the heart of one of the most prolific plays in North America. ”
Atlas expects to further expand the assets going forward. Expansion projects include the potential for additional gathering lines and a third 200 mmcfd processing plant.