Stonepeak Infrastructure Partners spreads its wealth across a veritable Who’s Who in midstream operations. While not a pure-player in oil and gas, this N.Y.-based private equity firm positions itself as a hard-asset investor in energy, power and renewables, transportation, utilities, water and communications, managing more than $15 billion of investments. But in the midstream oil and gas realm, Stonepeak recently has made a grand staircase entrance that could make even Rhett Butler whisper “Whoa.”
Stonepeak is an independent asset manager focused on North American infrastructure investments in transportation, communication, water, midstream energy, power generation (including renewables) and utilities.
Let’s take a look at the latest movers and shakers worthy of Stonepeak’s attention and capital starting in 2019.
Midland-based Oryx Midstream grabbed headlines and double-takes last year when Stonepeak outright purchased the company for $3.6 billion. Oryx is the largest privately held midstream crude operator in the Permian with 2.1 million Bbls of storage and 1,200 miles of in-service and under-construction pipelines that span eight counties in Texas and two in New Mexico.
Then there’s the Whistler Pipeline operated by Midland-based West Texas Gas, a public gas utility that services Texas and Okla. Stonepeak jumped into this project early on last June which will flow 2 BCFD of Permian natural gas via a 475-mile pipeline from Waha, Texas, to the Agua Dulce area near the Gulf Coast. Whistler is expected to go online in late 2021.
Other Stonepeak Midstream Investments Worthy of Mention
Stonepeak, in its 11 years of managing investment funds in the energy midstream sector, also has picked up a number of other oil and gas infrastructure gems over the last few years.
Richmond, Va.-based Dominion Midstream, a subsidiary of Dominion Resources, not only owns and operates natural gas terminaling, processing, storage, and transportation assets but also the Cove Point LNG export facility in the Chesapeake Bay, Md. The second largest LNG export facility in the U.S., Cove Point loaded its 100th vessel last November.
MPLX, a partnership with Marathon Petroleum, is one of the largest natural gas and NGL service providers in the U.S., processing more than 75% of total rich-gas production from the Marcellus and Utica.
Phillips 66, Targa, Plains All American Pipeline, and Sanchez Midstream also sit comfortably in Stonepeak’s portfolio—one that continues to ripen.
What do you think?