Starwood Energy Group Global has agreed to acquire Third Coast Midstream’s gas-gathering infrastructure in Lavaca County, Texas, for an undisclosed amount.
The business, which Third Coast acquired in 2014, includes more than 260 miles of natural gas gathering pipes along with associated infrastructure, according to Starwood. It provides gathering and artificial gas lift services to local upstream clients focused on oil and gas production in the Eagle Ford Group, a sedimentary rock formation deposited that covers much of Texas.
The transaction represents Starwood Energy’s first midstream acquisition, according to Himanshu Saxena, CEO of the company.
“The Lavaca system represents a unique opportunity to own a critical piece of Eagle Ford gathering infrastructure,” said Saxena. “The business mix of gas gathering and artificial gas lift results in a more stable cash-flow profile for the asset and fits well within our overall strategy.”
The deal fo
