With operations in Texas, Arkansas, Louisiana and Wyoming, Houston’s Genesis Energy L.P. is selling its Powder river Basin Midstream Assets in a $300 million cash deal.
An affiliate of Silver Creek Midstream, LLC exercised the option to acquire the assets in a region where several Oklahoma energy producers are active. Genesis intends to use the proceeds to reduce the balance outstanding under its revolving credit facility.
The Powder River Basin Midstream Assets include Genesis’ Powder River Basin Pipeline along with the associated crude oil gathering system and rail facility.
The sale is subject to customary closing conditions, including obtaining regulatory approvals. The transaction is expected to close in the third quarter of 2018.
Genesis Energy, L.P. is a diversified midstream energy master limited partnership headquartered in Houston, Texas. Genesis’ operations include offshore pipeline transportation, sodium minerals and sulfur services, onshore facilities and pipeline transportation and marine transportation. Genesis’ operations are primarily located in Texas, Louisiana, Arkansas, Mississippi, Alabama, Florida, Wyoming and the Gulf of Mexico.