DALLAS, Jan. 4, 2016 /PRNewswire/ -- Azure Midstream Partners, LP (NYSE: AZUR), a leading midstream natural gas gathering and processing company based in Dallas, Texas, today announced it has completed two new deals with producers totaling 32,000 MCFD.
The first is a four-year, fee-based deal with a well-established independent producer in East Texas who is working to grow their acreage position to build on the 15,200 acres they already operate in Panola County, TX. This producer currently has one rig active in the county drilling two horizontal Haynesville wells. Based upon the initial production results of these two wells and forward commodity prices, the producer has plans to drill additional wells in 2016. Minimal capital cost was required to facilitate delivery into the Azure gathering system.
The second is a five-year fee-based deal in the Waskom, TX area with a producer that has a well producing 9.2 MCFD. This producer is currently evaluating drilling offsets and has been working to acquire additional acreage in the area. This well is one of the first horizontal Cotton Valley wells in the Harrison County area.
"We are delighted with these additions to the Azure system," said I.J. "Chip" Berthelot II, President of Azure Midstream. "They are consistent with our stated strategy to build this business by painstakingly wringing every efficiency out of our operations while relentlessly working to increase our throughput and ancillary services for customers. Our outstanding professional team continues to work effectively to position Azure for optimal growth within this extremely challenging environment."
"We are excited to begin what should be mutually-beneficial relationships with two well-respected producers," said David Garrett, Azure's Commercial Vice President. "They demonstrate that commercial opportunities are available for those who are persistent."
About Azure Midstream Partners, LP
Azure Midstream Partners, LP, headquartered in Dallas, Texas, is a fee-based, growth oriented limited partnership formed to develop, operate, and acquire midstream energy assets. The Partnership provides natural gas gathering, transportation, and processing services; as well as NGL transportation and crude oil logistics services. The Partnership's assets include 1,002 miles of gathering lines in the Shelby Trough sub-play of the Haynesville Shale and the horizontal Cotton Valley play located in east Texas and north Louisiana that are capable of gathering 1.9 Bcf/d. The Partnership also has four natural gas processing facilities with 310 MMcf/d of cumulative processing capacity located in the Panola, San Augustine and Tyler Counties of Texas, two NGL transportation pipelines that connect its Panola County and Tyler County processing facilities to third party NGL pipelines capable of transporting 21,000 barrels per day, and three crude oil transloading facilities containing six crude oil transloaders with a combined capacity of 31,200 Bbls/d.
Additional information about Azure Midstream Partners, LP can be found at www.azuremidstreampartners.com.
About Azure Midstream Energy, LLC
Azure Energy is a midstream company with a focus on owning, operating, developing and acquiring midstream energy infrastructure in core producing areas in the United States. Azure Energy owns 100% of Azure Midstream Partners GP, LLC, the Partnership's general partner, and 90% of the incentive distribution rights in the Partnership. In addition to its ownership of the Partnership, Azure Energy provides natural gas gathering, compression, treating and processing services in north Louisiana and east Texas in the prolific Haynesville and Bossier Shale formations. www.azuremidstream.com
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/azure-midstream-partners-announces-two-new-fee-based-deals-totaling-32000-mcfd-300197263.html
SOURCE Azure Midstream Partners, LP
Steven C. Sullivan 518-587-5995