- The deal includes a 49 percent non-operated interest in the Powder River Gateway Joint Venture
- System is underpinned by roughly 915,000 dedicated acres under long-term agreements averaging more than eight years
- RBC Capital Markets advised Silver Creek and its sponsors; deal expected to close in the fourth quarter of 2026
Tailwater Capital and The Energy & Minerals Group have agreed to sell Silver Creek Midstream’s Powder River Basin crude oil assets to a subsidiary of Plains All American Pipeline and Plains GP Holdings for approximately $585 million in cash. The transaction will be effected through the sale of SCM PR II, the parent company of the assets, which is owned by subsidiaries of Tailwater, EMG and Silver Creek management.
The Powder River Basin system includes about 600 miles of gathering and transmission pipelines, roughly 350,000 barrels per day of operating capacity, and about 1.2 million barrels of operational storage capacity, along with a 49% non-operated interest in the Powder River Gateway Joint Venture. The network is supported by approximately 915,000 dedicated acres under long-term agreements and minimum volume commitments averaging more than eight years, serving producers across the Powder River Basin with connectivity to the Guernsey and Fort Laramie hubs.
“This transaction reflects the quality of the scaled midstream platform that Silver Creek has built in the Powder River Basin, supported by strong customer relationships and critical connectivity across the region,” said Jason Downie, co-founder and managing partner of Tailwater. He credited the management team’s execution and the firm’s partnership with EMG in reaching the milestone.
The transaction is expected to close in the fourth quarter of 2026. RBC Capital Markets served as sole financial advisor to Silver Creek and its sponsors, with Troutman Pepper Locke serving as legal counsel.
Dallas-based Tailwater Capital is an energy and infrastructure private equity firm that has raised more than $6 billion in committed equity capital since inception. The Energy & Minerals Group, founded in 2006, is a natural resource-focused private equity firm with approximately $12 billion in assets under management.
Editor’s note: This news brief was produced with the assistance of artificial intelligence.