October 6, 2019
The new joint venture between an Diamondback Energy subsidiary and Oryx Midstream now has an agreement to acquire a Midland company.
Diamondback’s Rattler Midstream and Oryx are acquiring Reliance Gathering for $355 million, with Oryx prepared to operate the system and ownership to be split 60/40 between Rattler and Oryx respectively.
Reliance includes more than 230 miles of regional transport and gathering pipelines and 200,000 barrels of crude oil storage.
Seeking Alpha notes the system throughput totals 110,000 barrels a day from six oil and gas operators, including Diamondback and “other top-tier operators.”