Oryx Midstream Services Secures $550 Million Investment

Qatar Investment Authority has acquired a $550 Million stake in Oryx Midstream Services from an affiliate of Stonepeak Infrastructure Partners. Oryx Midstream Services is the largest privately-held midstream crude operator in the Permian Basin.

"The significant investment and commitment from QIA alongside Stonepeak's strong operational and capital support will allow us to continue to grow our footprint in the Permian Basin and deliver the highest level of service to current and future customers. We are thrilled to lead Oryx in partnership with these world-class investors." said Brett Wiggs, CEO of Oryx.

"We believe that Oryx represents a strong midstream platform with tremendous growth potential, and we look forward to working with our new partners at Stonepeak. This acquisition is a further demonstration of QIA's strategy to increase the size of our US portfolio, and to invest more in major infrastructure projects." said Mansoor Al-Mahmoud, CEO of Qatar Investment Authority.

The Oryx system currently operates 500 miles of gathering pipelines and transports crude oil to market hubs for ultimate delivery to the Gulf Coast. Upon completion of the remaining 680 miles of gathering pipelines, which is currently under construction, Oryx's total transportation capacity will exceed 900,000 barrels per day.

Qatar Investment Authority has committed to invest in the development of Oryx alongside Stonepeak. While Qatar Investment Authority’s partnership and total investment in Oryx will be approximately $550 million, it plans to invest $45 billion across the US in the coming years.

Source:
pgjonline

Stonepeak Buys Oryx Midstream in a $3.6 Billion Deal

In a $3.6 billion deal, New York private equity firm Stonepeak Infrastructure Partners bought all of Permian Basin-focused pipeline operator Oryx Midstream’s assets, the two companies announced the deal on Tuesday.

Oryx is publicized as the largest privately-held crude oil pipeline and storage terminal operator in the Permian Basin of West Texas and New Mexico, with more than 1,200 miles of pipeline and 2.1 million barrels of storage.

"As we begin our next chapter and new partnership with Stonepeak, we look forward to the operational and capital support they will provide our team as we continue to aggressively grow our footprint in the Permian Basin," Oryx Midstream CEO Brett Wiggs said in a statement.

"Our critical focus will be on continuing to provide Oryx's diversified customer base with best in class service offerings to accommodate their growing production while also pursuing new commercial opportunities across the value-chain," Stonepeak partner and energy business head Jack Howell said.

The Midland pipeline operator recently completed construction on the first phase of a crude oil gathering system in an area of the Permian Basin known as the southern Delaware Basin, which includes parts of southern New Mexico and West Texas. Oryx will be able to keep its name and headquarters in Midland, under the deal with Stonepeak.

Source:
chron