BP Energy Partners said June 29 it is merging Dallas, TX-based Blue Roads Solutions, and Conroe, TX-based Thigpen Solutions, creating an innovative, full-service, leading player in the virtual pipeline industry.
The name of the newly combined firm will be Sapphire Gas Solutions.
Sapphire will be based in Conroe, TX, and will be led by Thigpen founder and CEO Sam Thigpen. Justin Cordon, a BPEP operating executive and the current COO of Blue Roads, has been tapped as chief integration officer for Sapphire.
The merger marks a commitment to comprehensively meet and anticipate the growing demands of customers. Combining the two companies leverages each organization's ability to provide near-term and long-term supplies of both compressed natural gas (CNG) and LNG along with offering a host of turn-key solutions that enable customers and utilities to gain the maximum economic and environmental advantages of natural gas.
“A core value proposition in merging these companies is creating one of the largest natural gas solutions providers serving the oil and gas sector, utilities, industrial companies, asphalt and aggregate producers, and remote power generation installations across the U.S.,” Alex Szewczyk, managing partner at BPEP, said.
The virtual pipeline space has seen increasing growth in recent years due to ongoing regulatory challenges, often stalling the installation of new pipelines. As a result, leading businesses and utilities are seeking off-pipe and/or ahead-of-pipe deliveries of natural gas, known as virtual pipelines. Virtual pipeline solutions also provide utilities and local distribution companies with pipeline integrity support and peak-shaving operations to ensure resiliency of supply for its customers. The new company will provide turn-key siting, design, installation, monitoring, and operation of remote and unmanned fueling systems utilizing natural gas.
The founders of Blue Roads built the company to deliver turn-key fuel systems for companies seeking to utilize environmentally friendly and operationally efficient natural gas. Aggregates and asphalt industries have been keen to pursue such a strategy. Blue Roads became one of the first third parties to fuel an asphalt plant with LNG, displacing high-carbon intensity waste oil and diesel. The focus on serving the aggregates and asphalt markets will not only remain intact, but will be strengthened with new offerings from the expanded capabilities and footprint that the merger provides.
Leveraging Blue Roads’ distribution capabilities with Thigpen’s service capabilities solidifies Sapphire's ability to provide current and prospective customers with a multitude of mobile natural gas solutions, including off-pipe fueling, seasonal peak-shaving, temporary gas supply, and backup gas supply for pipeline interruptions. Sapphire’s breadth and depth of LNG and CNG capabilities make it an ideal partner for those seeking non-pipe gas solutions of any kind.
Together, the two entities have demonstrated 10-fold organic revenue growth since 2016. This growth has been driven by expanded capabilities at each company along with superior customer service.
The project is scheduled to commence in first-quarter 2021, subject to relevant approvals.
The Offline Cementing Solution generates substantial reductions of nonproductive time (NPT) and operating costs.
The technology creates a paradigm shift to reduce reservoir uncertainty and lower total cost of ownership.