In late 2012 Rangeland Energy successfully sold its COLT System, composed of premier crude oil terminal and pipeline assets in North Dakota, to Inergy (now Crestwood) for $425 million. It didn’t take long for the Rangeland team to get back at it again. In November 2014, Rangeland placed into service its second large-scale terminal project in the heart of the Delaware Basin located near Loving, New Mexico.
It’s an exciting time to be working in the Permian, where more rigs are deployed to produce crude oil and natural gas than any other basin. This all translates into growing demand for logistics infrastructure and Rangeland is well suited to service this need.
Although similar to its COLT Hub in North Dakota, Rangeland’s RIO Hub provides additional services not available at COLT. It serves the producers in the Delaware Basin on the front-end by providing frac sand receipt, storage and distribution services, and on the back-end by providing crude oil and condensate aggregation, storage and transportation services. The facility has superior access for trucks, pipelines and railroad to ensure products are received and delivered to the highest value markets. In addition to the RIO Hub, Rangeland is completing construction of the RIO Pipeline, which will move crude oil and condensate produced in the Delaware Basin to the Midland market hub and major takeaway pipelines to the Gulf Coast, Cushing and other market centers.
We recently announced development of a third large scale system - the South Texas Energy Products System known as STEPS. STEPS is an integrated hydrocarbon logistics system that will receive and store refined products, liquefied petroleum gas (“LPG”) and other hydrocarbons at a new terminal hub located in Corpus Christi, Texas, and transport them to terminals primarily located in Mexico.
It’s been extremely rewarding to lead the Rangeland team. The core development and leadership team has stayed together providing consistency, expertise and experience as we moved into a new areas and provided an expanded menu of services. Furthermore, we have grown the team in critical areas such as business development, engineering, project management and operations.
Stay tuned! 2016 is proving a fun and busy year of growing operations and additional infrastructure construction.
Christopher W. Keene
President & CEO
"The COLT Hub created a point a liquidity for crude oil production in the Bakken. Today we are focused on the expansion of our RIO System in the Delaware Basin and the development of the South Texas Energy Products System (STEPS) which will move refined products and LPG from the Gulf Coast to Mexico. We are also pursuing opportunities to develop similar projects across North America."