Evolution Midstream has entered into a binding agreement to purchase the Rowdy Gas Gathering System in Wyoming’s Powder River Basin from Lucid Energy. The system is comprised of about 1,000 miles of gas gathering lines and 43,700 hp of compression. The transaction is expected to close by July 1.
The extensive footprint, serving oil and gas producers in Campbell, Converse and Johnson counties, is located in the heart of the Powder River Basin, allowing for additional growth. Evolution plans to begin a capital program to increase system capacity.
“We see a significant opportunity in the Powder River Basin, where there is increasing activity and focus by producers seeking entry into an exciting, stacked play,” Evolution CEO Raj Basi said. “The acquisition of the Rowdy System is the first step in developing our comprehensive vision for gas gathering, treating and processing in the area.”