EnLink Midstream announced today it has signed a definitive agreement to acquire Coronado Midstream Holdings LLC, which owns natural gas gathering and processing facilities in the Permian Basin, for approximately $600 million.
As part of the deal, owners of Coronado will receive $240 million in cash, $180 million of partnership common units and $180 million of a new class of partnership common units, subject to certain adjustments. Coronado operates three cryogenic gas processing plants and a gas gathering system in the North Midland Basin including approximately 270 miles of gathering pipelines.
EnLink President and CEO on the acquisition:
“This transaction builds on EnLink’s growing midstream platform in West Texas. The Coronado assets are located in the core of the North Midland Basin and are supported by the region’s most focused and active producers. By combining Coronado with our recent LPC acquisition and our existing footprint, we have the opportunity to create tremendous value for our producer customers by linking our gas gathering, processing and crude oil logistics operations to provide a full-service midstream solution.”
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