Summit Midstream Partners, LLC Announces Closing of Bear Tracker Acquisition
DALLAS, Feb. 19, 2013 /PRNewswire/ -- Summit Midstream Partners, LLC ("Summit Investments") announced today that it closed the previously announced acquisition of Bear Tracker Energy, LLC on February 15, 2013. Summit Investments owns and controls the general partner of Summit Midstream Partners, LP (NYSE: SMLP) as well as a 69.1% limited partner interest in SMLP. The acquisition was fully funded with an equity investment from Energy Capital Partners, the majority owner of Summit Investments. In conjunction with the closing, the acquired company has been renamed Meadowlark Midstream Company, LLC ("Meadowlark").
Meadowlark owns, operates, and is currently developing several crude oil, natural gas, and water gathering systems in the Bakken Shale Play (the "Bakken") in North Dakota and in the Niobrara Shale Play (the "Niobrara") in Colorado. Meadowlark's North Dakota assets include crude oil, natural gas, and water gathering systems designed to serve producers primarily targeting crude oil production from the Bakken in Mountrail, Burke, Williams and Divide counties. Meadowlark's Colorado assets include a natural gas gathering system and processing facility designed to handle the casing head natural gas associated with crude oil production from the Niobrara in Weld County. Meadowlark provides gathering and processing services pursuant to long-term, primarily fee-based gathering agreements with some of the most active producers operating in the Bakken and Niobrara. These agreements include long-term acreage dedications and many contain long-term minimum volume commitments. The natural gas gathering system located in Mountrail and Burke counties is currently in service while the crude oil and water gathering systems are under development and expected to commence operations in 2013.
"The acquisition of Meadowlark is transformational for Summit Investments and positions us in the core of two of the fastest growing crude oil basins in North America," said Steve Newby, President and CEO of Summit Investments. "Meadowlark's service area in the Bakken and Niobrara complement our existing operations and represent a natural progression of asset acquisition and development for Summit Investments in the Rockies. Once further developed, the Meadowlark assets will be offered to SMLP and we expect them to serve as a growth engine for SMLP over the long-term."
About Summit Midstream Partners, LLC
Summit Midstream Partners, LLC is a growth-oriented midstream energy company focused on owning and operating midstream energy infrastructure assets that are strategically located in the core areas of unconventional resource basins, primarily shale formations, in North America. Through its ownership of (i) Summit Midstream GP, LLC, the general partner of Summit Midstream Partners, LP (NYSE: SMLP); (ii) a 69.1% limited partner interest in Summit Midstream Partners, LP; (iii) its 100% ownership of Red Rock Gathering Company, LLC; and (iv) its 100% ownership of Meadowlark Midstream Company, LLC, Summit Investments provides primarily fee-based natural gas gathering, treating, processing, and compression services, as well as crude oil and water gathering services supporting some of the largest oil and gas exploration and production companies in North America, in six unconventional resource basins: (i) the Piceance Basin in western Colorado; (ii) the Fort Worth Basin in north-central Texas; (iii) the Sand Wash Basin in northern Colorado; (iv) the Uinta Basin in eastern Utah; (v) the Williston Basin in northwestern North Dakota; and (vi) the Denver-Julesburg Basin in northeastern Colorado. Summit Investments is headquartered in Dallas, TX with offices in Houston, TX, Denver, CO and Atlanta, GA.
Summit Investments was formed in 2009 by members of management and funds controlled by Energy Capital Partners II, LP. Together with its affiliates, Energy Capital Partners is a private equity firm with over $7 billion in capital commitments that is focused on investing in North America's energy infrastructure. In August 2011, Energy Capital Partners sold an interest in Summit Investments to GE Energy Financial Services. GE Energy Financial Services invests globally in essential, long-lived and capital-intensive energy assets.
SOURCE Summit Midstream Partners, LLC