EVX Midstream Partners LLC (EVX) has entered into a definitive agreement to build a produced water gathering system in the Eagle Ford oil window. The gathering system and surrounding facilities (EVX South Texas) will be underpinned by a fee-based, 15-year agreement that includes a 72,000-acre dedication in La Salle, Frio, and Atascosa Counties, Texas. Construction of the system will begin in May and is expected to be placed into service in the fourth quarter of 2016.
The Woodlands, TX-based EVX is currently evaluating multiple expansion opportunities for the water system, as well as potential crude oil and natural gas projects.
“EVX South Texas facilities will create significant savings for our customers and are configurable to efficiently handle local producers’ future needs. Additionally, the EVX South Texas assets position EVX to provide crude oil gathering and blending and natural gas gathering, processing, and treating services within the area,” said Herb Chambers IV, president and CEO of EVX.
“We are pleased to support EVX in their development efforts in the Eagle Ford. EVX’s system crosses several counties in an attractive area of the Eagle Ford and is well positioned to provide multi-commodity services to area producers,” said Matt Morrow, COO and managing partner of Five Point Capital Partners.
EVX Midstream Partners LLC, a midstream development company focused on acquiring, developing and operating crude oil, natural gas, and produced water gathering, processing, treating and transportation assets in the Eagle Ford, Permian Basin, and Mid-Continent, was founded in partnership with Five Point Capital Partners LLC. Five Point Capital Partners is firm focused on midstream energy infrastructure and energy sector investments across North America. The Woodlands, TX-based private equity firm is currently investing from Five Point Capital Midstream Fund II L.P. and manages more than $450 million of capital commitments.