EnLink completes acquisition of Tall Oak Midstream

A subsidiary of the EnLink Midstream companies – EnLink Midstream Partners LP (NYSE: ENLK) (the Partnership) and EnLink Midstream LLC (NYSE: ENLC) (the General Partner) – has completed its acquisition of certain subsidiaries of Tall Oak Midstream LLC for $1.55 billion, subject to certain adjustments.

Tall Oak’s gathering, processing and compression assets are located in the core of the STACK and Central Northern Oklahoma Woodford (CNOW) plays, and serve as a complement to EnLink’s existing position in the Cana-Woodford shale play.

In December 2015, a subsidiary of Devon Energy Corp. (NYSE: DVN) signed a definitive agreement to acquire 80,000 net surface acres, with up to 10 prospective zones, in the Anadarko Basin STACK play from Felix Energy LLC for $1.9 billion, subject to certain adjustments. The Felix acreage is dedicated to the Tall Oak system, making it the largest customer of this system. The acquisition of Felix will enhance Devon’s size and scale in the STACK play by adding approximately 80,000 net surface acres immediately north and northeast of its legacy STACK/Cana position.

Tall Oak’s key contracts are primarily fee-based with acreage dedications and have a remaining weighted-average term of approximately 15 years. Additionally, Devon will provide EnLink with five-year minimum volume commitments for gathering and processing on the dedicated Felix acreage. 


Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...