NGL Energy Partners completes Pecos crude oil acquisition
BY ROD WALTON World Staff Writer
Friday, November 02, 2012
NGL Energy Partners has completed its acquisition of Pecos Gathering and Marketing LLC, the Tulsa-based propane and crude oil distributor announced Friday.
The Pecos assets include crude oil purchasing and logistics operations in the Permian Basin and Eagle Ford Shale regions in Texas and New Mexico. NGL deepened its ties to crude oil business which began with the $693 million acquisition, including debt, of High Sierra Energy’s fleet of railcars, gathering and pipeline injection facilities.
No financial amounts were disclosed about the Pecos acquisition. The company’s former owners, the Jensen family, will take executive positions and did enter into a call agreement to purchase $45 million to $60 million in NGL common units in a private placement.
NGL Energy Partners has bought seven other companies since its May 2011 initial public offering. The Tulsa firm has swapped at least $560 million cash and 10 million of its common units in the deals, although financial details were not released with every acquisition.