Tailwater Capital (Tailwater), a private equity firm that invests in energy and growth infrastructure solutions, is to sell NorTex Midstream, (NorTex) to Williams Field Services Group (Williams), a subsidiary of The Williams Companies for $423 million.
Tailwater Capital (Tailwater), a private equity firm that invests in energy and growth infrastructure solutions, is to sell NorTex Midstream, (NorTex) to Williams Field Services Group (Williams), a subsidiary of The Williams Companies, for $423 million.
Tailwater acquired NorTex in February 2021, shortly after Winter Storm Uri hit Texas. As one of the only operational natural gas storage facilities supplying the North Texas region during the storm, the Company played a pivotal role supporting natural gas power generators and utilities. NorTex delivered more than 5 Bcf of natural gas to its customers and provided enough natural gas to heat and power approximately 380,000 homes, saving customers more than $800 million or the equivalent of over $2,100 per household.
Today, the Company operates the largest portfolio of non-utility gas storage facilities in North Texas and has considerably expanded its natural gas deliverability capabilities over the last 18 months. Since partnering with Tailwater, the Company has also improved the reliability of the North Texas power grid by executing agreements to directly connect and supply natural gas to some of the area’s largest power plants. NorTex’s asset base includes 36 Bcf of depleted reservoir working gas capacity, 83 total miles of natural gas transportation pipelines, as well as the Tolar Hub – the largest natural gas hub in North Texas.
