Five States Energy Capital Joins West Texas Development Project; Partners with Advantage Pipeline
DALLAS, TX (March 7, 2013) – Five States Energy Capital, LLC, a private-equity investment group, today announced plans to invest $17.5 million, joining Advantage Pipeline, LLC in the development of its Pecos River Pipeline.
Originating in the Delaware Basin near Pecos, Texas and terminating in Crane, Texas where it will connect to Magellan’s Longhorn Pipeline, the 16-inch diameter pipeline will transport up to 150,000 barrels of crude oil per day to terminals and refineries in Gulf Coast markets.
“With drilling risks at an all-time low, demand continuing to increase and more than $250 billion to be spent on midstream infrastructure development in the next 25 years, now is the time to invest in energy,” said Five States Energy President and CEO, Arthur Budge, Jr. “Our partnership with Advantage Pipeline not only fits our core, long-term investment strategy, but also supports our nation’s trek toward energy independence.”
The pipeline is scheduled to be operational by the end of May, completing the first phase of the project. The second phase is expected to be operational by summer 2013.
“We have a history of bringing together the right partners and investors to provide a more efficient and safer way to transport crude to market,” said Mike Shelton, President, Advantage Pipeline. “This endeavor could benefit all parties involved from investors and producers to operators and logistics customers as well as our economy.”
About Five States
Founded in 1985, Five States is a private equity investment group based in Dallas, Texas. With roots in the acquisition and financing of conventional oil and gas resources throughout the U.S., the company focuses on long-term, income-generating opportunities for its investors. Established in 2007, Five States Energy Capital, LLC provides customized capital solutions to independent producers located throughout the lower 48 states. Combined with its affiliate, Five States Energy Company, LLC, Five States manages more than $250 million in oil and gas investments.
About Advantage Pipeline, LLC