#United States #Irving #Silver Creek #Powder River #Plains All American

Silver Creek Midstream Sells Powder River Basin Assets

On September 16, 2026, Silver Creek Midstream Holdings, LLC, a prominent private midstream company specializing in crude oil gathering, transportation, and storage services, announced an impactful sale of its assets in the Powder River Basin. This agreement, valued at around $585 million, will see Silver Creek's operations acquired by a subsidiary of Plains All American Pipeline, L.P.

Located primarily in Wyoming, Silver Creek's Powder River Basin assets include approximately 600 miles of gathering and transmission pipelines capable of handling about 350,000 barrels per day. Additionally, the company boasts an operational storage capacity of around 1.2 million barrels and holds a 49% non-operated stake in the Powder River Gateway Joint Venture. The extensive network is supported by long-term agreements covering approximately 915,000 dedicated acres, ensuring continued service to prominent producers in the area.

The deal, set to be executed through the sale of SCM PR II, LLC, which oversees these assets, exemplifies the robust cultivation strategy fostered by Silver Creek's management in collaboration with partners such as Tailwater Capital LLC and The Energy Minerals Group. Jason Downie, Co-Founder and Managing Partner of Tailwater, expressed his pride in the strong customer relationships and infrastructure developed by Silver Creek, remarking on the strategic importance of this transaction.

John Raymond, Co-Founder and Co-CEO of EMG, also praised the company’s disciplined approach to investments and management, stating that Silver Creek has succeeded in establishing a significant midstream presence within the Basin. He emphasized their commitment to advancing this vital resource hub in the energy sector.

The operations currently managed by Silver Creek see around 125,000 barrels of oil transported daily, demonstrating the substantial level of activity and reliance on its services by regional producers. J. Patrick Barley, the company’s Founder and CEO, expressed gratitude towards the management team, Tailwater, EMG, and the company’s dedicated employees who contributed to the success and safety records of the operations.

While the transaction awaits customary closing conditions and regulatory approvals, it is anticipated to finalize in the fourth quarter of 2026, marking a pivotal transition for Silver Creek and its stakeholders.

As one of the major players in the midstream sector, Silver Creek Midstream continues to influence the dynamics of crude oil logistics and supply in the Powder River Basin, an area recognized for its potential in energy exploration and production. Industry watchers expect the integration into Plains All American's infrastructure will enhance service delivery and operational efficiencies, benefiting the broader regional market.

In summary, this strategic acquisition illustrates not only the evolving landscape of the energy sector but also the continuous development of midstream capabilities aimed at optimizing crude oil distribution across key American basins. Silver Creek's journey thus far sets a precedent for future partnerships and expansions in a rapidly changing marketplace.