Blackbuck Resources LLC on Oct. 1 closed the acquisition of water infrastructure assets from Cimarex Energy Co. in the Permian Basin, where the Houston-based water management company focuses.
The acquisition, which comprised of Cimarex Energy’s Whites City water infrastructure in New Mexico’s Eddy County, significantly grows Blackbuck’s platform in the Delaware Basin, Blackbuck CEO Justin Love said.
“This investment represents another significant milestone for Blackbuck, further validating our unique value proposition and industry-leading platform,” Love said in a statement.
The acquired Whites City assets include approximately 65 miles of pipeline and 100,000 bbl/d of installed and permitted disposal capacity. Terms of the transaction weren’t disclosed.
As part of the sale, Cimarex also agreed to a 15-year acreage dedication in the Whites City area. The agreement encompasses more than 40,000 acres, for the gathering, disposal and recycling of its produced water.
“We are excited to establish long-term alignment with Cimarex, a company which continues to demonstrate and build on its strong reputation as a thought leader in our industry,” Love added in his statement.
Kirkland & Ellis LLP served as legal advisers to Blackbuck Resources on the transaction. Blackbuck is backed by private equity sponsor Cresta Funds Management.
2023-09-25 - The Lufeng 12-3 FPSO in 240 m water depth is planned to reach peak production of 29,500 bbl in 2024.
2023-09-25 - Bolstered by billions in federal loans, grants and tax incentives, investments are being made in both energy transition and oil and gas projects, an indication of long-term sustainable growth.
2023-09-25 - In this Hart Energy LIVE Exclusive interview, EQT CEO Toby Rice describes what unleashing the U.S. LNG sector would look like.
2023-09-24 - The EU is set to demand that cars running on e-fuels must be 100% carbon neutral if they are to be sold beyond 2035, a draft document showed.
2023-09-24 - Oil prices for select global crudes are on a massive upward trend with $100/bbl just out of reach, according to data from General Index, a tech-native benchmark provider, and analysts say the prices prices are driven by OPEC+’s decision to extend production cuts.