ETX Energy Announces Successful Restructuring of Midstream Volume Commitments, Bondholder Buyout and Purchase of Midcoast’s Eaglebine Midstream System
TULSA, Oklahoma, August 27, 2021 – ETX Energy, LLC (“ETX”) successfully concluded negotiations and executed relevant documents to end its volume commitment with Midcoast, purchase Midcoast’s Eaglebine system, purchase the remaining bonds from its bondholders, expand its RBL capacity with IBC and received an equity injection into the company from its long term equity holders Varde, Millstreet Capital and Pennant Park. ETX successfully eliminated approximately $60 million of obligations through these actions significantly strengthening the company’s balance sheet and overall financial health at very economical terms. “Today culminates over 18 months of negotiations with the various parties, a true testament to the perseverance and creativity of the ETX team, said Ralph Hill, Chairman and CEO of ETX Energy, we also purchased approximately 100 miles of high capacity natural gas pipelines and related facilities in these transactions.” ETX now has approximately 425 miles of natural gas pipelines running through the heart of East Texas and has formed a Midstream Group to increase throughput on the systems and provide creative economical gathering and transportation service to producers in our area of Leon, Madison, Grimes and Walker counties of East Texas. ETX will also look to expand its pipeline assets into the emerging prolific Eastern Eagleford Counties of Brazos and Burleson.
About ETX Energy
ETX Energy is based in Tulsa, Oklahoma, and owns, manages and operates upstream and midstream energy projects in Southeast Texas, with its activity primarily focused in the Eastern Eagle Ford. While currently focused on the Eastern Eagle Ford, ETX is highly experienced in numerous basins across the nation and exercises financial discipline in all its activities.