The midstream sector has seen a wave of strategic acquisitions as major players continue to expand and optimize their infrastructure. From crude oil and natural gas liquids (NGL) pipelines to produced water handling, these deals highlight the ongoing efforts to enhance transportation and processing capabilities. Here’s a breakdown of the key midstream acquisitions shaping the industry.
Phillips 66 (PSX) Expands Permian Infrastructure
- Acquisition: EPIC NGL
- Value: $2.2 billion
- Purpose: Strengthening its Permian Basin pipeline footprint and expanding NGL transportation capabilities.
Oneok (OKE) Grows its Midstream Footprint
- Acquisition: EnLink Midstream
- Completed: January 31, 2025
- Value: Not explicitly disclosed
- Purpose: Expanding midstream operations across key basins.
- Acquisition: Medallion Midstream
- Completed: October 31, 2024
- Value: Not explicitly disclosed
- Purpose: Strengthening pipeline and gathering infrastructure in the Permian Basin.
- Acquisition: Easton Energy’s NGL Pipeline System
- Completed: June 17, 2024
- Value: Not explicitly disclosed
- Purpose: Increasing Oneok’s NGL pipeline assets to support growing demand.
Enterprise Products Partners (EPD) Strengthens Gas Infrastructure
- Acquisition: Pinon Midstream
- Value: $949 million
- Purpose: Expanding gas gathering and treating assets to enhance processing capabilities.
Plains All American (PAA) Expands with Strategic Bolt-On Deals
- Investment: ~$1.2 billion in acquisitions since 2022
- Acquired Assets:
- Ironwood Midstream Energy
- Fivestones Gathering System
- Medallion Delaware System
- Purpose: Enhancing midstream assets and improving operational efficiencies.
Energy Transfer (ET) Strengthens Crude and NGL Assets
- Acquisition: Crestwood Equity Partners
- Completed: Late 2023
- Value: $7.1 billion
- Purpose: Expanding its crude oil and NGL midstream portfolio.
- Acquisition: WTG Midstream
- Completed: July 2024
- Value: $2.275 billion
- Purpose: Enhancing midstream operations in the Permian Basin.
- Joint Venture: Partnership with Sunoco LP
- Completed: July 2024
- Value: Not explicitly disclosed
- Purpose: Consolidating crude oil and produced water gathering assets in the Permian Basin.
Total Estimated Acquisition Value
- Confirmed Transactions: ~$13.524 billion
- Transactions with Undisclosed Values: Oneok’s three acquisitions and Energy Transfer’s joint venture with Sunoco.
Why These Acquisitions Matter
These midstream deals reflect a strong focus on expanding infrastructure, particularly in the Permian Basin, which remains a critical production hub. Companies are investing heavily in pipeline networks, NGL transport, and water handling solutions to improve efficiency and capitalize on growing energy demand.
As the industry evolves, we can expect further consolidation and strategic investments aimed at optimizing midstream logistics. If you’re in the oil and gas sector, staying informed on these acquisitions can provide valuable insights into market trends and investment opportunities.
Stay tuned for more updates on the evolving midstream landscape! 🚀
