SandRidge Energy Inc. announced that its wholly owned subsidiary MidCon Midstream LP filed a Registration Statement on Form S-1 with the U.S. Securities and Exchange Commission relating to its proposed IPO of common units representing limited partner interests. Delaware-based MidCon Midstream is a limited partnership formed by SandRidge to own, operate, acquire and develop assets used for gathering, processing and disposal of saltwater produced alongside oil and gas. The company expects its initial assets will include well connections, gathering pipelines and disposal wells in the Midcontinent.
The number of common units in the offering and the price per common unit have not yet been determined. MidCon Midstream plans to apply for a listing of the common units on the New York Stock Exchange. SandRidge will own the general partner of MidCon Midstream and all of its incentive distribution rights and plans to initially retain a majority of MidCon Midstream’s units representing limited partner interests. SandRidge expects that it will receive a substantial majority of the net proceeds of the offering.
BofA Merrill Lynch and Barclays will act as the joint book-running managers for the proposed offering.
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