Olenox Eyes $36 Million STACK Midstream Deal in Oklahoma

Olenox Industries has signed a letter of intent for a $36 million midstream acquisition in Oklahoma’s STACK play, targeting crude oil gathering and transportation assets operated by Vivakor.

(P&GJ) — Olenox Industries Inc. has signed a non-binding letter of intent to acquire the midstream business and transportation assets of CPE Gathering MidCon LLC from Vivakor Inc., expanding its footprint in Oklahoma’s STACK play.

The proposed transaction is valued at about $36 million and would be paid through a combination of cash, a promissory note, and common and preferred stock. The valuation is based on approximately $4.56 million in annual EBITDA supported by a take-or-pay guarantee from Vivakor.

CPE Gathering owns and operates the Omega pipeline system, an on-basin crude oil gathering, transportation and terminaling platform serving the STACK region. The system provides pipeline connectivity to storage, blending facilities and downstream injection points.

“Integrated midstream platforms like CPE Gathering generate durable, fee-based cash flows and provide critical infrastructure in established producing basins,” said Michael McLaren, chief executive officer of Olenox. “The proposed acquisition of Vivakor’s Oklahoma midstream business would expand our presence in the STACK while positioning these assets for continued development under an integrated operating model. We couldn't be more excited about this acquisition.”

Olenox said the acquisition would support its broader acquire-and-integrate strategy by increasing fee-based revenue, reducing exposure to commodity price volatility, and aligning midstream logistics with its existing field services operations. The company expects operational synergies that could lower per-well costs and improve system uptime.

The parties are working toward definitive agreements and are targeting a closing on or before March 31, 2026, subject to customary closing conditions.