Milestone: Castelake-backed Advantage inks midstream deal with SandRidge


[Context: On August 23, Castelake-backed Advantage Midstream announced completing an agreement to build natural gas processing facilities in Jackson County, Colorado, for SandRidge Energy (NYSE: SD). Further details and related links are below.]

Advantage Midstream | Castlelake


Advantage Midstream and SandRidge Energy Enter Agreement for Gas Processing in Jackson County, Colorado

DALLAS, Aug. 23, 2018 /PRNewswire/ — Advantage Midstream, LLC, a Dallas-based, independent midstream company, today announced the completion of an agreement with Oklahoma City-based SandRidge Energy, Inc. (NYSE: SD) to construct and operate a natural gas refrigeration plant and provide gas processing services for acreage in the North Park basin, located in Jackson County, Colorado.

The agreement provides for the installation of a natural gas refrigeration plant to process natural gas from SandRidge Energy’s North Park assets. The plant will be installed adjacent to and in conjunction with Advantage’s previously announced gas conversion plant that is to be installed in Jackson County. The addition of the refrigeration complex will allow SandRidge to realize increased value from its natural gas stream for natural gas liquids while providing other economic and environmental benefits to SandRidge. As part of the agreement, Advantage will own and operate the system and market all liquids from the plant.

“Advantage Midstream is pleased to announce another layer of processing services with SandRidge in the exciting North Park basin. The combination of traditional NGL processing and our conversion services will allow for optimal environmental and economic benefit,” said John Stephenson, chief executive officer of Advantage Midstream. “We are pleased to continue growing our partnership with SandRidge in the North Park basin.”

Advantage Midstream is currently focused on opportunities in the Permian, Appalachia, Rockies, Bakken, Mid-Continent and other areas that have stranded or constrained natural gas production. The company offers a variety of services, including natural gas conversion, natural gas gathering, processing, treating and compression, and other oil and gas midstream services.

About Advantage Midstream

Advantage Midstream, based in Dallas, Texas, is a midstream and marketing company focused on applying advanced gas-to-liquid conversion technology to produce premium liquid fuels from natural gas resources across North America. Advantage offers producers and processors tailored solutions for natural gas and natural gas liquids in areas that are geographically constrained or lacking proper infrastructure.

About SandRidge Energy

SandRidge Energy, Inc. (NYSE: SD) is an oil and natural gas exploration and production company headquartered in Oklahoma City, Oklahoma, with its principal focus on developing high-return, growth-oriented projects in Oklahoma and Colorado. The majority of the Company’s production is generated from the Mississippi Lime formation in Oklahoma and Kansas. Development activity is currently focused on the Meramec formation in the NW STACK Play in Oklahoma and multiple oil rich Niobrara benches in the North Park Basin in Colorado.

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