Tradition Midstream Secures $100 Million Equity Commitment from EnCap Flatrock Midstream

THE WOODLANDS, Texas--(BUSINESS WIRE)--Tradition Midstream, LLC (“Tradition”) announced today that the company has secured $100 million in equity financing from EnCap Flatrock Midstream of San Antonio. Tradition is focused on the acquisition, expansion and greenfield development of midstream assets across North America with a current emphasis on emerging shale plays in Texas, Oklahoma and Louisiana including the Eagle Ford, Eaglebine, Mississippi Lime and Tuscaloosa Marine formations. The company provides oil and gas producers with the gathering, processing and transportation services they need to bring crude oil, natural gas, condensate and natural gas liquids to market.

“We are very pleased to be working with EnCap Flatrock. Their tremendous financial strength and midstream expertise joined with our industry experience creates a very strong partnership that will enable us to bring value-added solutions to our producing customers and grow our business.”

Led by President Don Brown, the four principal members of Tradition’s management team have been working together for eight years. They have 104 years of collective midstream experience, a deep understanding of virtually all aspects of midstream operations and a proven record of value creation in the sector. Together with Brown, Tradition’s Chief Financial Officer James Lee, Chief Operating Officer Bryan Johnson and Vice President of Land and Right of Way Mark Edge helped build Millennium Midstream Partners from a start-up to one of the fastest growing private energy companies in North America. Ranked 63 on the Inc. 500 list in 2007, Millennium was sold to Eagle Rock Energy Partners, L.P. in 2008. Brown, Lee and Johnson first began working together at Dynegy in 1996.

From Tradition’s President

“We are focused on providing timely, cost-effective and reliable gathering, processing and transportation services to bring crude oil, natural gas, natural gas liquids and condensate to market. We’ve assembled a multi-dimensional team with strong backgrounds in pipeline and facility construction, operations, right of way acquisition, gas supply and marketing. We value character, integrity and hands-on experience. Tradition looks to build long-term relationships with customers that are based on trust and creating solutions that benefit everyone,” said Tradition’s President Don Brown.

“We are very pleased to be working with EnCap Flatrock. Their tremendous financial strength and midstream expertise joined with our industry experience creates a very strong partnership that will enable us to bring value-added solutions to our producing customers and grow our business.”

From EnCap Flatrock Midstream

William R. Lemmons Jr., one of EnCap Flatrock’s three managing partners and a member of Tradition’s board of directors said, “We are very proud to have the opportunity to partner with Tradition to build a best-in-class midstream company. This is a top-notch team that is well known and highly regarded. Don Brown and his team have a long and successful history of working together. The depth and breadth of the experience they bring to the table will be a tremendous asset to producers. They understand how to execute at every level of the midstream business.”

Legal Advisors

Locke Lord LLP served as sole legal counsel to Tradition Midstream. Thompson & Knight represented EnCap Flatrock Midstream.

About Tradition Midstream, LLC

Based in The Woodlands, Texas, Tradition Midstream, LLC is focused on the acquisition, enhancement and operation of existing assets and the development of new assets in the midstream sector across the United States. These midstream services include gathering, processing and transportation services to bring crude oil, natural gas and natural gas liquids to the market. Led by President Don Brown, Tradition’s senior management team has more than 100 years of experience in the energy industry. Visit www.traditionmidstream.com for more information.

About EnCap Flatrock Midstream

EnCap Flatrock Midstream provides value-added private equity capital to proven management teams focusing on midstream infrastructure opportunities across North America. Founded in 2008 by EnCap Investments L.P. and Flatrock Energy Advisors, the firm is based in San Antonio and led by Managing Partners William D. Waldrip, William R. Lemmons Jr. and Dennis F. Jaggi. With more than 100 years of midstream experience, the principals at EnCap Flatrock manage a dedicated professional staff and midstream-focused investment commitments of nearly $3 billion from a broad group of prestigious institutional investors. EnCap Flatrock is currently investing out of EnCap Flatrock Midstream Fund II, a $1.75 billion fund. EnCap Flatrock’s current portfolio includes Caballo Energy, Caiman Energy II, Cardinal Midstream, EagleClaw Midstream, Lucid Energy Group, Nuevo Midstream, Rangeland Energy, Tradition Midstream, and US Infrastructure. Visit www.efmidstream.com for more information.