Hoover Energy Partners has bought midstream assets from Eagle Oil & Gas in Reeves County in the US state of Texas. The acquisition includes a 50-mile natural gas gathering system, a water transportation system and a water disposal well.
The system is underpinned by a long-term dedication of 68,000 gross acres, which Comstock Resources recently purchased from Eagle Oil & Gas.
Hoover has also started building the new Pecos Crossing pipeline in the Permian basin.
Pecos Crossing is a 24 mile, 12in crude oil pipeline system, which will have a capacity of up to 120,000bpd and will serve Ward and Reeves counties. At its northern terminus, the pipeline will deliver to the newly constructed Barstow Station of the Plains All American Pipeline, and at the southern terminus, it will serve the newly constructed Perry Ranch Station, which is a truck loading and tank terminal. The Pecos Crossing pipeline will begin operations in April this year.
The second phase of the pipeline project is being contemplated as the Wolfbone play extends south into Pecos County, where Hoover’s legacy 550 mile gas gathering system and treating facilities are situated.
Hoover president Randy Hoover said 2012 will be the year that the company will emerge as the premier midstream company serving producers targeting the Wolfbone play in Reeves and Pecos counties.
"Hoover Energy Partners has shifted into high gear with the Eagle acquisition and construction of Pecos Crossing," Hoover said.
