Crestwood Equity Partners entered into long-term commercial agreements with BlueStone Natural Resources II to gather and process natural gas across its Alliance, Lake Arlington and Cowtown systems in the Barnett Shale.
Crestwood will provide services to BlueStone for 10 years under a fixed-fee and percent of proceeds fee structure. As part of the agreement, BlueStone assured Crestwood all shut-in wells will return to production by July and remain that way until the end of 2018.
“I am pleased to announce our new long-term relationship with BlueStone, which will bring an experienced and financially sound oil and gas operator to our Barnett Shale systems and final resolution to Crestwood’s participation in the Quicksilver bankruptcy process,” said Robert Robert G. Phillips, president and CEO of Crestwood’s general partner
In connection with the closing, Quicksilver withdrew its motion to reject Crestwood’s legacy gathering agreements relating to its Barnett Shale assets.