Irving, Texas – September 18, 2026 -- Silver Creek Midstream Holdings, LLC will sell its Powder River Basin crude oil midstream assets to a subsidiary of Plains All American Pipeline, L.P. and Plains GP Holdings in a deal valued at approximately $585 million in cash.
Deal structure routes through SCM PR II, LLC parent entity
The transaction will be executed through the sale of SCM PR II, LLC, the parent company of Silver Creek's Powder River Basin operations, currently owned by subsidiaries of Tailwater Capital LLC, The Energy & Minerals Group (EMG), and Silver Creek management.
Network spans 600 miles with 350,000 bbl/d of capacity
The system comprises roughly 600 miles of gathering and transmission pipelines with approximately 350,000 barrels per day of operating capacity and 1.2 million barrels of operational storage. Silver Creek also holds a 49% non-operated interest in the Powder River Gateway Joint Venture. The company currently manages the gathering and transportation of roughly 125,000 barrels of oil per day.
Contracts cover 915,000 dedicated acres for more than eight years
Long-term agreements and minimum volume commitments underpin approximately 915,000 dedicated acres, with an average remaining contract term exceeding eight years. The network connects producers to regional hubs including Guernsey and Fort Laramie, serving the largest operators in the Powder River Basin.
Tailwater and EMG cite scaled platform as sale rationale
"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 Capital.
Closing targeted for fourth quarter of 2026
The transaction is expected to close in the fourth quarter of 2026, subject to customary closing conditions and regulatory approvals. RBC Capital Markets served as sole financial advisor to Silver Creek and its sponsorship group, while Troutman Pepper Locke acted as legal counsel to Silver Creek on the deal.