Energy Capital Partners has announced the formation of Summit Midstream Partners, a platform company focused on acquiring and developing a portfolio of midstream energy infrastructure assets in North America. The firm also announced that Summit had made its first acquisition, acquiring a 75% stake in DFW Midstream Services from Energy Future Holdings, as well as certain natural gas gathering assets in the Barnett Shale from Chesapeake Energy (NYSE, CHK).
Despite the crash in energy prices private equity investors still seem to have a thirst for midstream energy infrastructure assets in North America. There have been 7 deals in the sector so far in 2009, more than there were in each of the past three years, according to the PitchBook Platform. Platforms are a popular way of investing in midstream energy for PE, other recent ones set up include American Securities' Delphi Midstream Partners, Charlesbank Capital Partners' Southcross Energy and Tenaska Capital Management's Voyager Midstream.