Red Butte is a 530-mile crude oil gathering system with an expansive footprint across the Big Horn and Wind River Basins. Red Butte is anchored by a long-term dedication, and is currently the largest pipeline gathering asset transporting crude oil out of the Big Horn and Wind River Basins to Casper, Wyoming.
With the acquisition, Silver Creek Midstream establishes itself as a prominent crude oil midstream service provider in the state of Wyoming, and plans to continue expanding the company’s pipeline assets and service offerings in the state.
“We are very excited to complete the acquisition of the Red Butte Pipeline system, which represents the first acquisition for Silver Creek since our formation in October of 2017. This is a quality asset with stable volumes, and we look forward to working with the team at Merit,” said Patrick Barley, founder and CEO of Silver Creek Midstream. “Red Butte is a great foundational asset for our company and provides Silver Creek a foothold as we look to expand into other parts of the state.”
Headquartered in Irving, Texas, Silver Creek Midstream is a private midstream company focused on providing crude oil gathering, transportation and storage services in Texas and Wyoming. Silver Creek Midstream is backed by an initial $150 million funding commitment from Tailwater and Silver Creek management.
“We are very pleased with the completion of Silver Creek’s Red Butte acquisition, having closed the deal within eight weeks of initial discussions with Merit,” said Jason Downie, managing partner at Tailwater Capital. “This transaction exemplifies the Silver Creek team’s commitment to Wyoming and we look forward to putting more capital to work in and around this asset as well as other midstream opportunities in the state.”
Locke Lord served as exclusive legal advisor on the transaction to Silver Creek Midstream.
SOURCE Silver Creek Midstream LLC