Howard Energy Partners Strengthens Midcontinent Presence Through Strategic Acquisitions
Howard Energy Partners (HEP) has taken a major step forward in expanding its integrated midstream infrastructure network with the completion of two significant transactions that reinforce its position across the Midcontinent region. The company recently finalized the acquisition of Superior Midstream and increased its ownership stake in the Midship Pipeline to full ownership, creating a stronger and more connected natural gas platform that links key producing regions with growing demand centers throughout the United States.
The transactions reflect HEP’s long-term strategy of investing in high-quality energy infrastructure assets that can support rising natural gas demand while delivering operational efficiencies and sustainable growth. Together, the acquisitions enhance the company’s gathering, processing, transportation, and market-access capabilities across some of the nation’s most productive natural gas basins.
The first milestone came on May 1, when HEP completed the acquisition of Superior Midstream, a Tulsa-based natural gas gathering and processing company with operations spanning Oklahoma, Kansas, the Texas Panhandle, and East Texas. Later in the month, on May 29, the company expanded its ownership of the Midship Pipeline to 100%, giving HEP complete control of one of the region’s most strategically important natural gas transportation assets.
These developments position Howard Energy Partners to capitalize on increasing natural gas production and growing demand from sectors including liquefied natural gas (LNG) exports, electric power generation, industrial manufacturing, and emerging data center developments.
Building an Integrated Midstream Platform
Howard Energy Partners has consistently pursued a growth strategy centered on creating integrated infrastructure systems that connect natural gas supply with end-user markets. By combining gathering, processing, storage, and transportation assets, the company aims to provide producers and customers with efficient and reliable energy solutions.
The acquisition of Superior Midstream significantly expands HEP’s gathering and processing footprint. Superior’s extensive network includes approximately 3,700 miles of natural gas gathering pipelines along with associated processing infrastructure. These assets serve key production areas throughout the Midcontinent region and have been developed through long-standing relationships with producers operating in the area.
The addition of Superior’s infrastructure provides HEP with a larger operational presence and creates opportunities for synergies with existing assets. The expanded system strengthens the company’s ability to move natural gas from production fields to major transportation corridors while offering producers greater access to downstream markets.
At the same time, full ownership of the Midship Pipeline enhances HEP’s control over a critical transportation link that connects natural gas supplies from Oklahoma’s Anadarko Basin to demand centers across the Gulf Coast and southeastern United States.
By bringing these assets together under a single operating structure, HEP can optimize system performance, improve service reliability, and create additional growth opportunities for customers and stakeholders.
CEO Highlights Long-Term Growth Strategy
According to Howard Energy Partners Chairman and Chief Executive Officer Mike Howard, both transactions represent important milestones in the company’s ongoing commitment to disciplined growth and value creation.
Howard emphasized that the acquisitions align with the company’s strategy of scaling operations in natural gas basins expected to remain important contributors to North American energy supply for decades. As demand for cleaner-burning fuels continues to grow, natural gas is expected to play a central role in supporting electricity generation, industrial activity, and energy exports.
The CEO noted that Midship serves as a critical connection between production regions in the Midcontinent and rapidly expanding demand markets along the Gulf Coast and in the Southeast. These markets include LNG export terminals, power plants, manufacturing facilities, and a growing number of energy-intensive data centers.
One of Midship’s key advantages is its operational flexibility. The pipeline system has the capability to move natural gas in both directions, enabling operators to respond to evolving market conditions and changing supply-demand dynamics. This bidirectional capability may become increasingly valuable as energy markets continue to evolve and regional demand patterns shift over time.
Howard also highlighted the strategic fit of Superior Midstream within HEP’s broader portfolio. The acquired assets bring substantial gathering and processing capabilities that complement Midship’s transportation network. Combined with dedicated production volumes and established producer relationships, the transaction creates opportunities to improve operational efficiency and strengthen market connectivity.
Midship Pipeline: A Strategic Energy Corridor
The Midship Pipeline has become one of the most important transportation assets in HEP’s portfolio. The company initially acquired an operating interest in the pipeline in February 2025, marking the beginning of its deeper involvement in the asset.
The pipeline is a Federal Energy Regulatory Commission (FERC)-regulated system consisting of approximately 200 miles of 36-inch natural gas pipeline infrastructure. Located in the heart of Oklahoma’s Anadarko Basin, the system serves the highly productive SCOOP (South Central Oklahoma Oil Province) and STACK (Sooner Trend Anadarko Basin Canadian and Kingfisher Counties) plays.
These regions have emerged as significant contributors to U.S. natural gas production, attracting substantial investment from producers seeking access to abundant hydrocarbon resources. The Midship Pipeline provides a vital transportation route that enables these supplies to reach downstream markets efficiently.
Since taking over operatorship of the pipeline, Howard Energy Partners has focused on optimizing performance and maximizing asset utilization. According to the company, those efforts have produced record throughput levels and increased utilization across the system.
The decision to acquire the remaining ownership interest reflects HEP’s confidence in the long-term value of the asset and its strategic importance within the company’s broader midstream network.
Full ownership also allows HEP to make investment decisions more efficiently and pursue future expansion opportunities without the complexities associated with shared ownership structures.
Positioning for Future Natural Gas Demand
Industry analysts continue to project strong long-term demand for natural gas, driven by multiple growth sectors. LNG exports remain a major demand driver as global markets seek reliable energy supplies. In addition, the expansion of data centers, artificial intelligence infrastructure, and electrification initiatives is expected to increase electricity consumption, supporting additional natural gas-fired power generation.
Against this backdrop, Howard Energy Partners is positioning itself as a key infrastructure provider capable of connecting abundant Midcontinent natural gas supplies with growing domestic and international demand markets.
The combination of Superior Midstream’s extensive gathering and processing network with Midship’s transportation capabilities creates an integrated value chain that can serve producers throughout the production lifecycle. This integrated approach not only enhances operational efficiency but also strengthens the company’s competitive position in a rapidly evolving energy landscape.
With full ownership of Midship and the successful acquisition of Superior Midstream, Howard Energy Partners has significantly expanded its Midcontinent platform. The transactions enhance the company’s infrastructure footprint, deepen its producer relationships, and create new opportunities to support growing natural gas demand across North America. As energy markets continue to evolve, these strategic investments are expected to play a central role in HEP’s long-term growth strategy and its ability to deliver reliable energy infrastructure solutions for years to come.
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