EIV Capital and several of its institutional partners made an initial funding commitment of $100 million in H2O Midstream, LCC. Headquartered in Houston, Texas, the company is pursuing energy opportunities related to water infrastructure throughout North America.
Correction: The original version of this story incorrectly stated that H2O is based in Midland, Texas. It is based in Houston.
H2O Midstream, LLC announced today that it has secured an initial funding commitment of $100 million, with investments from EIV Capital and co-investments from several of EIV’s institutional partners collectively representing more than $50 billion in assets under management. The company is currently pursuing oil and gas opportunities related to water infrastructure throughout North America.
“We see a tremendous opportunity to help the industry lower costs, increase reliability, and improve safety performance while allowing producers to focus on core drilling, completions, and production operations,” said Jim Summers, Chief Executive Officer of H2O Midstream. “The key is applying best practices developed over the past 40 years by traditional midstream companies to the current challenges of the emerging water market.”
Experienced Leadership Team
Headquartered in Houston, Texas, H2O Midstream is led by former industry executives with experience at oil and gas majors, traditional midstream companies, and private equity funded start-ups.
Jim Summers, Chief Executive Officer, leads the management team and brings over 25 years of experience from the energy industry, having held senior leadership positions at Conoco and BP, as well as privately held start-ups. As the former Chief Operating Officer at Energy Water Solutions, and Sector Leader for both Water and Midstream at ERM, Jim is a recognized industry expert in strategic water management.
Darrell Bull, Chief Commercial Officer, brings a 28-year track record from the midstream industry, having held a variety of senior engineering, operations, and business development roles at Mobil, Williams, and Crestwood. Darrell currently sits on the Editorial Advisory Board forMidstream Business magazine and is a former Board Member for the Mid-Continent Chapter of the Gas Processors Association.
David Ishmael, Executive Vice President of Engineering and Operations, is a 35-year veteran of the industry, having held key leadership roles at Dynegy, Targa, AB Resources, Quicksilver, and Southcross Energy. David is also a former Chairman and Board member for the North Texas Gas Processors Association.
Gauri Potdar, CFA, Vice President of Strategy and Analytics brings 13 years of energy and commodity experience in strategy, finance, and business development from roles at Deloitte, Element Markets, and S&P Global Platts.
John Jensen, former Executive Vice President at EP Energy, joins H2O Midstream as a member of the Board of Directors. Prior to joining EP Energy, John served for over two decades in a variety of upstream and midstream roles at El Paso Corporation and ConocoPhillips.
The team collectively brings over 125 years of midstream experience to the emerging water market, having designed, built or operated over 10,000 miles of pipeline and related infrastructure during their careers.
Strong Financial Support
H2O Midstream believes the partnership with EIV Capital provides a competitive advantage in the changing energy market as EIV has a history of supporting entrepreneurs as they seek to grow their businesses. Mr. Summers added, “Our relationship with EIV is truly unique in that it provides the best of both worlds. We have access to the operational expertise and creativity necessary to develop solutions for producers that need to move quickly in today’s cost challenged environment. EIV’s strong relationship with our co-investors provides direct access to the additional capital necessary to acquire, develop, and build large gathering, storage, treatment, and disposal operations needed to support the growth of the industry throughout North America.”
According to Patti Melcher, Managing Partner at EIV, “Safe, reliable, long-term solutions for producers’ water logistics in the oilfield is a growing need, one which we have been seeking to invest in for quite some time. Jim and his team bring a true midstream philosophy and a long-term, life-of-field solution that will assist producers in lowering oilfield water costs vs. the traditional trucking solution — creating a true win-win in this commodity price environment.”
About H2O Midstream
H2O Midstream is a newly formed energy midstream company focused exclusively on water. We view water as a commodity rather than a waste and partner with producers, traditional midstream companies, and oilfield service providers to improve the efficiency, reliability, and safety of water operations while lowering costs across the entire value chain. The company is currently focused on acquiring, building, and operating water midstream assets including gathering systems and transmission pipelines as well as treatment, storage, and disposal facilities. More information can be found at www.h2omidstream.com or via email to firstname.lastname@example.org.
About EIV Capital
Founded in 2009, EIV Capital is a Houston-based private equity firm specializing in providing growth equity to the midstream sector of the energy industry. EIV has deep midstream operational expertise and coordinates closely with its portfolio companies through all phases of a project, from evaluation to structuring, financing, development, and operations. For more information, please visit www.eivcapital.com.