TransTex Treating to buy amine treating assets
10 May 2021
TransTex Treating announced plans to buy amine gas treating assets from Bold Production Services’ B Treat business division.
TransTex said the transaction will increase the book value of its fleet of amine gas treating equipment by about 30%. The company’s board has approved the acquisition, but a closing date was not announced.
TransTex did not reveal the specific value of the transaction, but said it will boost TransTex’s recurring rental service revenue on day one with additional revenue generation from stock equipment once deployed.
Included in the transaction are in-service amine gas treating facilities located in the Eagle Ford and Barnett Shales, treating approximately 150MMcf/d. The transaction will boost TransTex’s recurring rental and service revenue on day one with additional revenue generation from stock equipment once deployed.
TransTex said it would hire the Bold employees associated with operations of the in-service assets.
“Bold’s amine plants, with their modular designs, complement our existing fleet of amine gas treating equipment,” said TransTex CEO Stephen Morgan. “In addition, the acquisition expands our footprint while, at the same time, captures additional synergies that will enable us to operate more efficiently. And finally, it expands TransTex’s market share and customer base, creating new growth opportunities throughout the Company.”
Bold Production Services CEO Glen Wind said, “The sale of amine gas treating assets to TransTex is a “win-win” for both companies. It allows us to monetize a non-core asset, while, at the same time, provides TransTex with valuable assets that are core to their business and area of expertise. We’re excited to work more closely with the TransTex team going forward.”
TransTex Treating is a provider of natural gas treating, processing, and related production equipment and services, to operators and midstream companies alike. The Houston-based company operates facilities across the United States, for projects ranging from wellhead solutions to larger centralized facilities.
Bold Productions Services provides oil and natural gas treating, processing and production solutions for producers, midstream and oilfield service companies. It is also based in Houston.