Canyon Midstream Begins Operations of James Lake System
Permian Basin Gas Gathering and Processing System Has Initial Capacity of 105 MMcf/d
Houston, TX – February 6, 2015 – Canyon Midstream Partners, LLC (“Canyon”) today announced its James Lake Midstream System in the Permian Basin commenced commercial operations on December 1, 2014.
“Canyon is excited to announce that our James Lake system commenced operation on December 1, 2014, less than 12 months after execution of our first processing agreement in the Permian Basin. Our success in permitting, designing and constructing a system of this scale in less than one year, with the ability to gather, treat and process sour gas, demonstrates the world-class capabilities of the Canyon team,” said Michael Walsh, President and CEO of Canyon. “The tremendous commercial interest in this project supported our decision to increase the initial capacity of the James Lake plant by over 300% during construction. Canyon believes the Permian Basin is a long-term growth opportunity for our company, so we are continuing to invest in our team, processing assets and pipeline footprint in anticipation of further production growth.”
Phase I of the James Lake system consists of a 105 MMcf/d cryogenic gas processing plant in Ector County, Texas, and six field compressor stations, 60 miles of 12” trunkline and 20 miles of low pressure gathering lines in Ector and Andrews counties, Texas. Phase II of the James Lake system will add a second cryogenic gas processing plant, with a capacity of 100 MMcf/d, in Andrews County and additional trunkline to expand the system’s service territory into Lea County, New Mexico, and Martin and Howard counties, Texas. Canyon expects Phase II to begin operations in the first half of 2016.
About Canyon Midstream Partners, LLC
Canyon is a Houston-based company formed to acquire, develop and operate midstream energy companies and assets. Canyon is backed by $300 million in equity commitments from Kayne Anderson Energy Funds, Canyon management and certain institutional investors. Canyon seeks opportunities to create long-term value for its customers, investors and employees through operational improvements, organic and strategic growth and efficient capital investment. Canyon currently operates gathering and processing assets in the Permian Basin, East Texas and the Tuscaloosa Marine Shale. For more information, visit visit www.canyonmidstream.com or contact Canyon at info@canyonmidstream.com.
About Kayne Anderson Energy Funds
Established in 1998, Kayne Anderson Energy Funds, with offices in Houston and Los Angeles, provides private equity financing primarily for high-growth oil and gas companies across North America. The firm has raised six dedicated energy private equity funds totaling over $4.5 billion in committed capital and invested in more than 80 portfolio companies. Kayne Anderson Energy Funds is a part of Kayne Anderson Capital Advisors, L.P., a leading independent alternative investment management firm founded in 1984 with over $28 billion in assets for institutional investors, family offices, and high net worth and retail clients in eight offices across the United States. Kayne Anderson Capital Advisors focuses on niche investing in upstream oil and gas companies, energy infrastructure, specialized real estate, middle market credit, growth private equity and distressed municipal opportunities. For more information, please visit www.kaynecapital.com.