In its second quarter 2012 financial report, Texas-based Crosstex Energy says it is focusing on growth in the Utica and Marcellus shales in 2013.
Crosstex Energy last May agreed to purchase Clearfield Energy Inc. with operations in Ohio, Kentucky and West Virginia. It is a crude oil, condensate and water-services midstream service company.
It moves about 30 percent of pre-Utica oil movement in Ohio.
Assets include a crude-oil barge-loading terminal on the Ohio River, a crude oil-loading rail facility on the Ohio Central Railroad network and 200 miles of pipelines in Ohio and West Virginia.
The assets also include 100,000 barrels of above-ground storage, six brine injection wells with two more under development and a fleet of trucks with a total capacity of 35,000 barrels per day.
In addition, Clearfield owns more than 2,500 miles of unused right of way.
The purchase price was $210 million. It provides Crosstex with an entry into the Utica and Marcellus plays.
Crosstex refers to the Clearfield Energy operations as part of its Ohio River Valley operations.
It called the Utica-Marcellus operationsthe "perfect platform."
Said president and CEO Barry Davis, "This acquisition positionsus in the rapidly developing Utica and Marcellus shale plays and provides us with a substantial growth platform in a new geographic area. It represents a significant addition to our crude and condensate business and our entry into saltwater disposal.
"We also plan to take advantage of natural gas gathering and processing opportunities that we plan to develop in the area," he said.
Crosstex is looking to invest $50 million into its Ohio River Valley operations, he told analysts on Aug, 7.
Its first step is to expand its truck and terminaling infrastructure to handle near-term volume increases. Secondly, the company will continue to evaluate long-term takeaway solutions.
Chesapeake Energy Corp,the Oklahoma-based firm is the No. 1 driller in Ohio.
Rig Count Interactive Map by Baker Hughes, an energy services company.
Shale Sheet Fracking, a Youngstown Vindicator blog.
The Ohio Environmental Council, a statewide eco-group based in Columbus.
Earthjustice, a national eco-group.
People's Oil and Gas Collaborative-Ohio, a grass-roots group in Northeast Ohio.
Concerned Citizens of Medina County, a grass-roots group.
No Frack Ohio, a Columbus-based grass-roots group.
Fracking: Gas Drilling's Environmental Threat by ProPublica, an online journalism site.
Pipeline, blog from Pittsburgh Post-Gazette on Marcellus shale drilling.
Allegheny Front, environmental public radio for Western Pennsylvania.