Summit Midstream Holdings LLC, a subsidiary of Summit Midstream Partners, has entered into a definitive agreement to sell Summit Midstream Permian LLC, which owns the Lane Gathering and Processing System in the Delaware Basin to a wholly-owned subsidiary of Matador Resources Company for US$75 million in cash.

The Lane G&P System includes approximately 45 miles of low and high-pressure gathering pipeline in Eddy and Lea counties in the northern Delaware Basin, three compressor stations and a 60 MMcf/d cryogenic processing plant commissioned in December 2018.

The transaction is subject to customary closing conditions and is expected to close in Q2 2022. Guggenheim Securities served as financial advisor and Locke Lord L.L.P. served as legal advisor to Summit. O'Melveny & Myers LLP served as legal advisor to Matador.