Colorado-based Elevation Midstream, LLC has completed its merger with Platte River Holdings, a subsidiary of ARB Midstream, LLC.
The merger “positions Elevation for further growth in the Denver-Julesburg Basin with its increased scale and connectivity,” according to a joint news release.
Elevation offers three-product gathering, crude stabilization, gas compression, and water logistics services, including tankless gathering options for customers who prioritize efficient emissions management.
The Platte River assets include more than 200 miles of crude gathering and transmission pipelines and offer multi-market optionality to customers via the Platteville and Lucerne Terminals, including truck offloading. Producers can optimize their barrels through batching, blending and access to premium markets, according to the release.
According to the ARB website, the Platte River Gathering system provides gathering for crude oil production in the heart of the DJ Basin, which is home to the Niobrara and Wattenberg plays in Weld County, Colorado. The system is backed by multiple long-term producer commitments. Platte River Gathering delivers to the Grand Mesa Pipeline, which delivers barrels to Cushing, Oklahoma.
“The combination of Elevation and Platte River creates an ideal platform for organic growth and basin consolidation through targeted M&A via an expansive footprint, world class facilities, and a strong balance sheet,” the release stated.
“We are extremely pleased to announce this combination with Platte River,” Elevation CEO John Roberts said. “ARB has built a highly strategic business with a great track record servicing their producer customers. Our assets are interconnected and complementary, and the combination creates a midstream system of significant scale in the basin. This transaction represents the first step in Elevation’s strategy to serve as a consolidator of DJ Basin gathering and processing assets. It has immediate operational synergies and will unlock additional accretive opportunities for continued growth”.
“We are excited to merge with Elevation Midstream to create a unique midstream platform that will drive long-term growth in the basin,” ARB Midstream CEO Dan Campbell said. “Platte River and Elevation share a similar culture and safety-focused operating philosophy, and with contiguous crude, gas and water assets, we are strongly positioned to drive significant midstream consolidation. This announcement validates the dedication and hard work of our employees who built and operate a first-class system that delivers exceptional, safety-first midstream services to our customers”.
Elevation Midstream, LLC is a privately held midstream company headquartered in Denver, Colorado with operations in the Denver-Julesburg Basin. Elevation said it specializes in building and operating assets for the gathering and processing of crude oil, gas, and water.
According to the company’s website, Elevation has a crude oil stabilization capacity of 50,000 barrels per day and a gas compression capacity of 120 million cubic feet per day.
ARB Midstream is a privately held, growth-oriented energy company based in Denver, providing comprehensive crude oil midstream solutions with nearly 1,000 miles of pipeline and two million barrels of storage throughout Colorado, Oklahoma, and Texas.
Source: www.rigzone.com
