Dallas-based Teak Midstream LLC has acquired gas gatherer and natural gas liquids transporter Texana Pipeline Co. LLC, Teak said Monday.
The transaction, which was effective July 1, includes more than 325 miles of Texana's intrastate gathering pipeline assets located throughout 17 South and East Texas counties. Significant portions of the acquired assets are in and around the Eagle Ford Shale formation, Teak said. Terms were not disclosed.
"Texana's gathering assets provide a strategic footprint for Teak's planned growth in the Eagle Ford Shale," said Teak's Jim Wales, co-chief executive. "This acquisition is just one of many growth steps for Teak."
Seven Texana employees will join Teak, including Gayle W. Muench. Muench will serve as vice president of corporate development and will focus most of his efforts on executing Teak's Eagle Ford Shale strategy. He will be located in the company's new regional office in San Antonio.
Teak provides gas gathering, transmission, treating, processing, compression, marketing and price risk management services and is led by A. Chris Aulds and Wales. Prior to starting Teak they were two of the original three founders of Crosstex Energy Inc. Teak Midstream is backed by Natural Gas Partners, an affiliate of NGP Energy Capital Management. Last October Teak secured a $100 million private equity investment from Natural Gas Partners.
©Copyright 2010 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.