Trace Midstream Partners II, a portfolio company of Quantum Capital Group, has entered into agreements with LM Energy Delaware, a portfolio company of Old Ironsides Energy, to acquire its natural gas-gathering and transportation assets in the Northern Delaware Basin.
Located in Eddy and Lea counties of New Mexico, LM Energy’s natural gas gathering and transportation system consists of high- and low-pressure gas pipelines with associated compression, dehydration, condensate-handling, and vapor-recovery capabilities. LM Energy is constructing multiple new compressor stations, new gathering pipelines, and a 20-inch diameter, high-pressure transportation pipeline that will connect the existing gas gathering system to a number of gas-processing facilities near Loving, N.M. Upon completion of these projects, the system will consist of approximately 170 miles of pipeline and 12 compressor stations, with a total design capacity of 650 million cubic feet per day. The system has more