Targa Resources Corp. acquired Dovetail Midstream, LLC for $122.8 million, structured as All-cash purchase of all membership interests plus certain compressor assets, with contingent consideration of up to $60.0 million payable over five years.
Dovetail Midstream, LLC operates in Gathering and Processing. In December 2025 Targa completed the purchase of all membership interests in Dovetail Midstream, LLC, a wholly owned subsidiary of Riley Exploration Permian, Inc., and on December 24, 2025 completed the purchase of certain compressor assets from Riley. The assets acquired primarily consist of compression and natural gas gathering infrastructure in Eddy County, New Mexico. Additional cash of up to $60.0 million may be payable to Riley over a five year period subject to volume-based performance thresholds.
Adds compression and natural gas gathering infrastructure in the Permian Delaware (Eddy County, New Mexico), extending Targa's gathering network.
In December 2025, we completed the purchase of all of the membership interests in Dovetail Midstream, LLC ('Dovetail'), a wholly-owned subsidiary of Riley Exploration Permian, Inc ('Riley'), and on December 24, 2025, we completed the purchase of certain compressor assets from Riley for aggregate cash consideration of approximately $122.8 million for both the membership interests in Dovetail and certain compressor assets, subject to customary closing adjustments (together, the 'Dovetail Acquisition').Targa Resources Corp., Form 10-K for fiscal year 2025, Note 4 Acquisitions and Joint Ventures
Advisory firms were not disclosed for this transaction.