NYSE:WESOil and Gas
Should WES’s Occidental Fee Shift and Equity Giveback Reshape Western Midstream Partners’ Risk Profile?
Recently, Western Midstream Partners restructured its long-term agreement with Occidental into a fixed-fee contract with minimum volume commitments through 2035, with Occidental also returning shares worth about US$610 million, while expanding agreements with ConocoPhillips and growing its produced water operations.
This combination of long-duration fee-based contracts, asset-light water infrastructure expansion, and a significant equity giveback from Occidental could reshape Western...