A new company launched by a US energy investment firm has bought a UK gas processing plant and says it has plans to buy more North Sea oil and gas infrastructure.
North Sea Midstream Partners (NSMP), set up by ArcLight Capital Partners, has bought Teesside Gas Processing Plant (TGPP) in north-east England.
The plant processes gas from the CATS pipeline system, which brings in gas from fields and installations in the central North Sea.
NSMP was formed by ArcLight in partnership with senior management of the Teesside plant and former Venture Production chief executive Mike Wagstaff.
Arclight said the business would focus on the ownership and commercial development of large-scale midstream oil and gas infrastructure in and around the North Sea.
Andy Heppel, chief executive of the plant, said: “Working with ArcLight will enhance our ability to further develop TGPP and to pursue new opportunities involving assets where value can be created for NSMP and for producers through the commercial development and efficient and reliable operation of midstream infrastructure assets.”
Daniel Revers, managing partner and co-founder of Boston-based ArcLight, said: “The ownership of significant, high-value, network-critical midstream infrastructure assets is a compelling opportunity in today’s energy industry.”
The Teesside plant has a capacity of 450million square cubic feet per day and is currently completing the construction of a second processing train which will add an additional 225 mmscfd of capacity initially dedicated to serving the RWE-operated Breagh project in the Southern Gas Basin.
It is currently the only-independently owned and managed gas processing plant in the UK, said ArcLight.
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