The EnLink Midstream companies, EnLink Midstream Partners, LP (NYSE:ENLK) (the Partnership) and EnLink Midstream, LLC (NYSE:ENLC) (the General Partner) (together "EnLink"), today announced that a subsidiary of the Partnership has signed a definitive agreement to acquire LPC Crude Oil Marketing LLC ("LPC"), which has crude oil gathering, transportation and marketing operations in the Permian Basin, for approximately $100 million, subject to certain adjustments. LPC currently purchases, transports and sells approximately 60,000 barrels per day of crude oil, serving as a critical link between Permian producers and end markets. The acquisition expands EnLink's service offerings in the Permian Basin, adding crude oil first purchasing and logistics capabilities to EnLink's existing natural gas gathering and processing services. "The acquisition of LPC is a great example of our M&A strategy, which is one of our four avenues of growth," said Barry E. Davis, EnLink Midstream President and Chief Executive Officer. "Even with the recent decline in oil prices, we believe that the Permian Basin will remain a core growth area for oil production. This acquisition enhances EnLink's ability to provide a complete midstream solution to customers in one of the most active producing basins in North America, and our plan is to make additional investments expanding LPC's business over time. "This business comes with an experienced management team that has built a highly respected crude oil marketing company known for customer service and performance," Davis added. "We are excited to welcome LPC's dedicated team of employees into the EnLink family." LPC's assets include:
- Thirteen pipeline and refinery injection stations which are located in the most productive areas of the Permian Basin;
- A fleet of approximately 43 tractor trailers;
- Six crude oil gathering systems totaling 67 miles of pipeline; and
- An extensive crude oil first purchasing operation.
About the EnLink Midstream CompaniesEnLink Midstream is a leading midstream provider formed through the combination of Crosstex Energy and substantially all of the U.S. midstream assets of Devon Energy. EnLink Midstream is publicly traded through two entities: EnLink Midstream, LLC (NYSE: ENLC), the publicly traded general partner entity, and EnLink Midstream Partners, LP (NYSE: ENLK), the master limited partnership. EnLink Midstream's assets are located in many of North America's premier oil and gas regions, including the Barnett Shale, Permian Basin, Cana-Woodford Shale, Arkoma-Woodford Shale, Eagle Ford Shale, Haynesville Shale, Gulf Coast region, Utica Shale and Marcellus Shale. Based in Dallas, Texas, EnLink Midstream's assets include approximately 8,800 miles of gathering and transportation pipelines, 13 processing plants with 3.4 billion cubic feet per day of net processing capacity, seven fractionators with 252,000 barrels per day of net fractionation capacity, as well as barge and rail terminals, product storage facilities, brine disposal wells, an extensive crude oil trucking fleet and equity investments in certain private midstream companies. Additional information about the EnLink Midstream companies can be found at www.EnLink.com. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the federal securities laws. These statements are based on certain assumptions made by the Partnership and the General Partner based upon management's experience and perception of historical trends, current conditions, expected future developments and other factors the Partnership and the General Partner believe are appropriate in the circumstances. These statements include, but are not limited to, statements about future financial and operating results, objectives, expectations and intentions that are not historical facts. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Partnership and the General Partner, which may cause the Partnership's and the General Partner's actual results to differ materially from those implied or expressed by the forward-looking statements. These risks include, but are not limited to, the failure to consummate the transaction, the risk that new assets will not be successfully integrated or that such integration will take longer than expected, the risk that the new assets will not perform as expected, the failure of the new assets to generate follow-on investment opportunities, the failure to achieve expected synergies, regulatory, economic and market conditions and other risks discussed in the Partnership's and the General Partner's filings with the Securities and Exchange Commission. The Partnership and the General Partner have no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.