Producers Midstream II, a portfolio company of Tailwater Capital focused on providing a full suite of midstream solutions to operators across the U.S., has secured an expanded credit facility led by Texas Capital Bank, Bank of Oklahoma, Cadence Bank, U.S. Bank and Wells Fargo Bank._x000D_
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The $400 million credit facility is designed to provide ample capacity to fund development projects across both their existing asset base in the mid-Continent and Eastern Permian Basin and growth projects in the Delaware Basin. The upsized facility will support the completion of the company’s state-of-the-art gathering, treating and processing system in Lea County, New Mexico, while also providing room for further expansion to support operator activity in the immediate surrounding area. The company has already kicked off engineering work to evaluate moving additional inventoried cryogenic plants into Lea County._x000D_
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“With this facility, Producers Midstream is well-positioned to advance critical infrastructure projects and expand our operational presence in key regions, targeting increased drilling activity in the Bone Springs, Wolfcamp, and Penn Shale formations in the Delaware Basin, the Eastern Permian Basin and the growing Cherokee / Red Fork formation in the Anadarko Basin,” Matt Flory, CEO of Producers Midstream, said. “This milestone underscores our commitment to delivering innovative and reliable midstream solutions to meet the evolving needs of upstream operators.”_x000D_
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“We are incredibly grateful for the bank group that has supported Producers Midstream II,” Stephen Lipscomb, partner at Tailwater Capital, said. “This financing reflects their confidence in the management team and equips the company to continue providing solutions to our customers.”
Forward for Specialty Finance
