Mora Energy acquires 200 miles of Permian gas pipelines in two midstream deals

SEATTLE (Oil Monster): Mora Energy has completed two Midland basin acquisitions that add approximately 200 miles of natural gas gathering pipelines and establish a new midstream operating platform in the Permian basin.

Mora acquired Tejon Treating and Carbon Solutions LLC from funds managed by Bayswater Exploration & Production. Tejon operates natural gas gathering, compression and sour gas treating infrastructure in the northeast Midland basin.

The company also acquired West Texas Midstream Gas Services LLC, known as the Quail system, from Williams Companies. The Quail system includes natural gas gathering and compression infrastructure in the northwest Midland basin.

Together, the acquisitions give Mora approximately 200 miles of natural gas gathering pipelines, four compressor stations, an amine treating facility and an acid gas injection well. The company's operations now span Andrews, Martin, Howard, Borden, Scurry and Mitchell counties in West Texas.

“These acquisitions represent an important milestone for Mora and our team's return to owning and operating midstream infrastructure in the Permian Basin,” Mora CEO Elliot Gerson said. “We are excited to be back in the market and intend to move quickly to pursue both organic development and acquisition opportunities.”

Mora said it plans to use the acquired infrastructure as a platform for additional acquisitions and organic expansion in the Permian.

Alongside the transactions, funds managed by NGP Energy Capital Management increased their equity commitments to Mora. The company also closed a new revolving credit facility led by BOK Financial and Huntington Bank to provide additional capital for future growth.

Financial terms of the two acquisitions were not disclosed.

Courtesy: www.pgjonline.com