Oasis Midstream Partners LP Comments on Oasis Petroleum's Recently Announced Permian Divestiture and Williston Acquisition
HOUSTON, May 20, 2021 /PRNewswire/ -- Oasis Midstream Partners LP (Nasdaq: OMP) ("OMP" or the "Partnership") today commented on Oasis Petroleum's recently announced Permian divestiture and Williston acquisition.
- Oasis Petroleum Inc. (NASDAQ: OAS) announced it entered into a series of definitive agreements to sell its entire Permian Basin position. The primary transaction is expected to close around June 30, 2021;
- OMP retains its Permian midstream assets in Panther DevCo and expects to benefit from incremental activity versus status quo on the Permian asset, based on plans from the new operator;
- OMP's customer base continues to diversify with Oasis's Permian assets moving to third-party revenue up to 17% pro forma for Oasis' Permian divestiture. Additionally, with 1Q21 earnings results, OMP announced multiple incremental third-party contracts and continues to work a robust pipeline of new opportunities in the Williston and Permian Basins;
- OMP continues to benefit from its mutually beneficial relationship with Oasis, whose compelling financial position and deep low-cost inventory are expected to provide strong support to OMP's financial outlook;
- Following its recently announced Williston acquisition and Permian divestiture, Oasis has indicated it is likely to accelerate activity at OMP dedicated areas in 2022 and beyond;
- OMP's 2021 guidance is unchanged from the May 4th update.
Chief Executive Officer, Taylor Reid, commented, "Oasis Midstream Partners continues to improve due to Oasis's announced divestiture of its Permian assets and recent Williston acquisition. The change in Permian operator will further diversify our customer base, and anticipated incremental activity by the new operator enhances OMP's financial outlook. Oasis's recent Williston acquisition enhances its free cash flow outlook, allowing Oasis to redirect activity from the Permian to OMP dedicated areas in the Williston in 2022 and beyond. OMP believes it is well positioned to capture volumes derived from resilient activity levels at Oasis, which are supported by our sponsor's strong balance sheet and attractive asset base that generates significant free cash flow. We look forward to solid execution and continuing to increase the value of our partners' investment."
This press release contains forward-looking statements. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that the Partnership expects, believes or anticipates will or may occur in the future are forward-looking statements. Without limiting the generality of the foregoing, forward-looking statements contained in this press release specifically include the expectations of plans, strategies, objectives and anticipated financial and operating results of the Partnership, including the Partnership's capital expenditure levels and other guidance included in this press release. These statements are based on certain assumptions made by the Partnership based on management's experience and perception of historical trends, current conditions, anticipated future developments and other factors believed to be appropriate. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Partnership, which may cause actual results to differ materially from those implied or expressed by the forward-looking statements. These include, but are not limited to, developments in the global economy, particularly the public health crisis related to the novel coronavirus 2019 ("COVID-19") pandemic and the adverse impact thereof on demand for crude oil and natural gas and our customers' demand for our services. Because considerable uncertainty exists with respect to the future pace and extent of a global economic recovery from the effects of the COVID-19 pandemic, we cannot predict whether or when economic activities will return to normalized levels.
Any forward-looking statement speaks only as of the date on which such statement is made and the Partnership undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.
About Oasis Midstream Partners LP
Oasis Midstream Partners LP is a premier gathering and processing master limited partnership formed by its sponsor, Oasis Petroleum Inc. to own, develop, operate and acquire a diversified portfolio of midstream assets in North America that are integral to the crude oil and natural gas operations of Oasis Petroleum Inc. and are strategically positioned to capture volumes from other producers. For more information, please visit the Partnership's website at www.oasismidstream.com.
Oasis Midstream Partners LP
Bob Bakanauskas, (281) 404-9600
Director, Investor Relations
SOURCE Oasis Midstream Partners LP