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WPX Energy to form JV to develop Permian Basin midstream assets

Published 06/13/2017, 07:47 AM
© Reuters.  WPX Energy to form JV to develop Permian Basin midstream assets
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  • WPX Energy (NYSE:WPX) says it will form a joint venture with Howard Energy Partners to develop oil gathering and natural gas processing infrastructure in the Permian Basin.
  • WPX says the 50-50 JV will to support its drilling operations in the Stateline area, representing 50K net acres, or 37% of its ~135K net acre position in the Permian's Delaware Basin, and includes crude oil gathering assets already under construction as well as a planned natural gas processing complex.
  • WPX, which also will receive $300M upfront in cash from Howard Energy, values the new JV at $863M based on the cash to WPX, the capital carry and WPX’s ownership interest.
  • Now read: WPX Energy, Inc. 2017 Q1 - Results - Earnings Call Slides


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