Ironwood Midstream Energy Partners has formed a new independent energy company geared toward developing midstream infrastructure for oil and gas producers across North America.
The new company, Ironwood Midstream Energy Partners II, is supported by an initial capital commitment of $400 million from EnCap Flatrock Midstream and management. Ironwood II is currently pursuing greenfield projects and acquisition opportunities, with a focus on opportunities in Texas.
The new company has entered into a binding agreement to purchase the south Texas midstream assets of Twin Eagle Gardendale Pipeline, a subsidiary of Twin Eagle Holdings. Twin Eagle’s Gardendale and Asherton gathering systems include 137 miles of crude oil–gathering pipeline, which connects to multiple long-haul pipelines connected to the Gulf Coast.
The transaction is expected to close in December.
Danny Rea, executive VP and COO at Twin Eagle, will join Ironwood II as chief commercial officer.
