Denver-based DCP Midstream said June 14 it is acquiring Permian Basin gathering and processing assets from Woodland Midstream II, a portfolio company of EIV Capital, for $160 million. DCP will acquire the James Lake system, comprised of 230 miles of sour gas gathering pipelines in Andrews, Ector and Winkler counties, and a cryogenic processing facility in Ector County (capacity 120 million cfd).
Wouter van Kempen, chairman, president and CEO, said, “We are very pleased to announce the agreement to expand our Permian gathering and processing business with assets that have connectivity to DCP’s existing infrastructure and fit our long-term strategy of securing incremental volumes for our downstream assets.”