The sale focused on the principal assets of Midstream, namely a newly constructed, operational crude oil terminal (the Pawnee Terminal) and proximal development site, both located in the heart of northeast Colorado’s Niobrara play.

The Pawnee Terminal is the primary injection point into Tallgrass Energy Partners’ Northeast Colorado Lateral of the Pony Express Pipeline, a major pipeline transporting crude oil produced from the Bakken and Niobrara formations to Cushing, Okla.

The sale of Midstream culminates a more-than two-year-long process in which UET worked with Tallgrass and Niobrara producers to provide customers with long-term assurance that crude oil production will move from constrained supply basins to North America’s primary market hub at Cushing.

UET retains substantial throughput capacity at the terminal available to third-party producers, in addition to retention of major crude oil purchase contracts utilizing the terminal and transportation to Cushing.

UET is a privately held, Denver-based oil and gas marketing and logistics company and subsidiary of Bismarck, N.D.-based United Energy Corp., which holds power marketing, oil and gas producing, and retail gas companies in addition to UET.

UET purchases, transports, and/or sells some 1.5 Bcf/day of natural gas on over 80 pipelines and approximately 150,000 b/d of crude oil on over 20 pipelines and via over 1,000 rail cars throughout North America.