Delek Logistics Partners, LP Announces Closing of Gravity Water Midstream Acquisition by Investing.com
BRENTWOOD, Tenn.–( BUSINESS WIRE )–Delek Logistics Partners, LP (NYSE: DKL ) (Delek Logistics (NYSE: ) ) announced today the closing of the previously announced acquisition of Gravity Water Intermediate Holdings LLC (Gravity).
The Gravity acquisition represents another significant step in DKL’s commitment to be a complete service provider for crude oil, gas and water in the Permian Basin. Gravity’s primary operations are in Howard County in the Midland Basin, and together with our recent acquisition of H2O Midstream, provide a strong opportunity for integrated crude oil and water services for DKL’s clients. We believe that Delek Logistics continues to provide the best combination of yield and growth in the mid-tier sector. As noted earlier, DKL will approach having more than 70% of its EBITDA come from third-party sources. We are excited about the prospects for DKL and the value it continues to bring to all its stakeholders, said Avigal Soreq, president of Delek Logistics.
Gravity’s operations include integrated full-cycle water systems in the Permian Basin, along with produced water gathering and transportation assets in the Bakken. In total (EPA:) transaction consideration of $285 million, consisting of $200 million in cash (excluding customary closing adjustments) and ~2.175 million DKL units.
The acquisition is a synergy of DKL’s recent acquisition of H2O Midstream and complements DKL’s integrated raw and produced water collection and disposal offering in the Midland Basin. The acquisition also represents an opportunity to extract significant synergies through optimization of costs and sales of goods.
About Delek Logistics Partners, LP
Delek Logistics Partners, LP is a midstream energy master limited partnership headquartered in Brentwood, Tennessee. Through its owned assets and joint ventures located primarily in and around the Permian Basin, including the Midland and Delaware Basins, and other select areas in the Gulf Coast region, Delek Logistics provides gathering, pipeline, transportation and other services to its customers in , intermediate, refined products, , storage, wholesale marketing, terminalization, water disposal and recycling. Delek US Holdings, Inc. (NYSE: NYSE:) (Delek US) owns a general partner interest as well as a majority limited interest in Delek Logistics Partners, LP, and is also a significant client.
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See the original version on businesswire.com: https://www.businesswire.com/news/home/20250102287313/en/
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Source: Delek Logistics Partners, LP
