Phillips 66, a diversified and integrated downstream energy provider, has agreed to acquire Pinnacle Midland Parent from private equity firm Energy Spectrum Capital for a cash consideration of $550 million.
Phillips 66 said this is a strategic move to expand its natural gas gathering and processing footprint in the Midland Basin.
“We are growing our midstream business in the Permian to further strengthen and expand our service offerings to customers while driving operational and commercial synergies,” said Mark Lashier, chairman and CEO of Phillips 66. “Pinnacle is a bolt-on asset that advances our wellhead-to-market strategy and complements our diversified and integrated asset portfolio. Further, this transaction aligns with our long-term objectives to build out our natural gas liquids value chain, be disciplined with our capital allocation and create sustainable value for our shareholders.”
Pinnacle’s assets include the recently built Dos Picos natur
