ArcLight Capital Partners, a private equity firm focused on energy infrastructure investments, revealed that its affiliate, Greylock Energy, has acquired substantially all of the gas production and midstream assets of Energy Corporation of America (ECA).
Simultaneously, Greylock Energy also completed a related transaction to acquire membership interests in First ECA Midstream, which owns several gathering and transmission pipeline systems in a joint venture with ECA.
Greylock Energy is supported by a $400 million equity commitment from ArcLight and certain co-investors to pursue gas production and midstream opportunities in Appalachia with a core focus on development of its existing West Virginia and Pennsylvania operations. The acquired assets include more than 4,400 operated wells, roughly 713,000 net deep acres and 2,600 miles of gathering assets.
“The Marcellus is a world-class shale resource and this investment serves as an ideal platform for additional upstream and midstream growth opportunities in this important region,” said Dan Revers, managing partner and founder of ArcLight.
ArcLight has invested more than $19 billion in more than 100 transactions since inception in 2001.
In September, ArcLight acquired a 30 percent interest in the entity that owns the Olympic Pipeline from ARCO Midcon, an affiliate of BP Pipelines, and sold its 60-megawatt Hamakua Energy Partners plant for an undisclosed price to Pacific Current.
ArcLight’s investment team targets mainly midstream, power and production opportunities.
