What San Mateo Midstream does

San Mateo Midstream, LLC is a Dallas-headquartered midstream services joint venture formed in February 2017 between a subsidiary of Matador Resources Company (NYSE: MTDR, 51%) and a subsidiary of Five Point Infrastructure LLC (49%), with an implied initial value of approximately $500 million. The company provides integrated three-stream midstream infrastructure in the Delaware Basin, serving oil and gas E&P operators in Southeast New Mexico (Eddy and Lea Counties) and West Texas (Loving County). Service lines include natural gas gathering, compression, treating and processing through approximately 305 miles of gathering pipelines and two cryogenic processing complexes (Black River and Marlan) with combined designed inlet capacity of 720 MMcf/d; produced water gathering and disposal through 16 commercial disposal wells (13 in NM, 3 in TX) totaling 475,000 Bbls/d of capacity and 185 miles of gathering pipelines; and crude oil gathering and transportation through approximately 120 miles of pipelines including 95 miles of FERC-regulated interstate pipeline, with designed throughput capacity exceeding 100,000 Bbls/d connecting to Plains All American for transport to Midland, Texas.

The company monetizes through long-term, fixed-fee bilateral contracts (typically 15-year terms) with acreage dedications and minimum volume commitments, supplemented by volume-based disposal and gathering fees. Anchor customer Matador Resources has dedicated its Rustler Breaks and Wolf asset areas; additional named customers include Marathon Oil and multiple third-party E&P operators. Go-to-market is enterprise field sales, led by a Vice President of Business Development and Co-COO, with presence at industry conferences and direct producer outreach. Strategic interconnects include Plains All American (joint tariff, 400,000-acre joint development area) and EPIC Y-Grade Pipeline (NGL takeaway at Black River tailgate). In June 2026, San Mateo announced the $752 million cash acquisition of Cardinal Midstream Partners, expected to close by July 31, 2026, financed in part by a $650 million term loan led by PNC Bank and Truist Bank, which will expand processing capacity above 1 Bcf/d and pipeline mileage above 800 miles, while adding approximately nine new gas customers and up to $110 million of annualized Adjusted EBITDA at full capacity by 2028.

Name

San Mateo Midstream

Legal name

San Mateo Midstream, LLC

Website

https://sanmateomidstream.com

Company type

Private

Founded year

2017

Operating status

Operating

Headcount range

11–50 employees

Short description

San Mateo Midstream is a Delaware Basin-focused joint venture (51% Matador Resources, 49% Five Point Infrastructure) providing integrated natural gas processing, produced water disposal, and crude oil transportation services under long-term fixed-fee contracts with E&P operators.

Ownership category

akta.pro rank

Product category

Midstream Oil & Gas Services

NAICS

Pipeline Transportation of Natural Gas (486210), Pipeline Transportation of Crude Oil (486110), Natural Gas Distribution (22121), Natural Gas Distribution (2212)

SIC

Natural Gas Transmisison & Distribution (4923), Natural Gas Transmission (4922), Pipe Lines (No Natural Gas) (4610)

akta.pro primary industry

Pipeline Operations, Integrity & Control (SCADA, Pigging, Leak Detection) (EUALADAK)

akta.pro secondary industries

Gas Metering, Measurement & Custody Transfer (EUAAACAJ), Oil & Gas Midstream & Pipeline O&M (Pipelines, Compressor Stations) (EUAEAGAF), Midstream Commercial Services (Capacity Marketing, Balancing & Scheduling) (EUAAACAL), Truck Transportation of Crude, Refined Products & LPG (Bulk Road Haulage) (EUALADAJ)

Keywords

• Natural gas processing
• Produced water disposal
• Oil gathering transportation
• Midstream infrastructure services
• Delaware Basin pipelines

Headquarters

HQ city

Dallas

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Infrastructure, Supply Chain, Operations, Personnel, Technology or R&D

Revenue model

1. Natural Gas Gathering, Processing and Treatment Services: Fee-based revenue from natural gas gathering, compression, treating and processing services. Customers pay fixed fees for firm capacity and volume commitments under long-term contracts, typically 15-year agreements with minimum volume commitments at market rates.
2. Produced Water Gathering and Disposal Services: Fee-based revenue from produced water (salt water) gathering and disposal services through commercial disposal wells. Revenue is generated through disposal fees based on volumes processed.
3. Oil Gathering and Transportation Services: Fee-based revenue from crude oil gathering and transportation through pipeline systems. Services include crude oil interstate transportation under joint tariff arrangements with long-haul transporters, providing connectivity from wellhead to end markets like Midland, Texas.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels3 records

Core offering

San Mateo Midstream provides integrated midstream services for oil and natural gas producers in the Delaware Basin, covering all three production streams: natural gas gathering, compression, treating and processing through two processing complexes (720 MMcf/d capacity); produced water gathering and disposal through 16 commercial disposal wells (475,000 Bbls/day capacity); and crude oil gathering and transportation through FERC-regulated pipelines connecting to long-haul transport to Midland, Texas. Services are delivered under long-term (15-year) fixed-fee contracts with minimum volume commitments and acreage dedications from E&P operators.

Product overview

San Mateo Midstream is a midstream services provider offering an integrated three-stream approach for oil and natural gas activities. The company operates natural gas gathering, compression, treating and processing services (through the Black River Gas Processing Complex and Marlan Gas Processing Complex with 720 MMcf/d combined capacity); produced water gathering and disposal services (16 disposal wells with 475,000 Bbls/d capacity); and oil gathering and transportation services (120 miles of pipelines with 100,000+ Bbls/d throughput capacity). Services are primarily focused in the Delaware Basin in Eddy County, New Mexico and Loving County, Texas.

Differentiator

Problem solved

Functional benefit

Products and services

• Natural Gas Gathering and Processing Services Natural gas gathering, compression, treating and processing services for E&P operators in the Delaware Basin, delivered through approximately 305 miles of natural gas gathering pipelines and two cryogenic processing complexes (Black River and Marlan) with combined designed inlet capacity of 720 MMcf/d. Service includes nitrogen rejection for high-nitrogen gas and sour gas treating capability.
• Produced Water Gathering and Disposal Services Produced water (salt water) gathering and disposal services for E&P operators in the Delaware Basin, delivered through 16 commercial disposal wells (13 in Eddy County, NM; 3 in Loving County, TX) with combined designed disposal capacity of 475,000 Bbls/day and approximately 185 miles of gathering pipelines. Integrated systems provide redundancy through interconnected saltwater disposal wells, and the company can also provide recycled produced water to producers in New Mexico.
• Oil Gathering and Transportation Services Crude oil gathering and transportation services for E&P operators in the Delaware Basin, delivered through approximately 120 miles of pipelines including approximately 95 miles of FERC-regulated pipeline in Eddy County, NM. Three central delivery points provide over 100,000 barrels of designed throughput capacity, with connectivity to Plains All American Pipeline for transportation to Midland, Texas.
• Rustler Breaks Crude Oil Pipeline System Approximately 17-mile, 10-inch diameter crude oil gathering and transportation pipeline system in Eddy County, New Mexico, operated by wholly-owned subsidiary San Mateo Black River Oil Pipeline, LLC. Connects origin points to Plains Pipeline, L.P. for transport to Midland, Texas. Subject to FERC regulation with published Local Tariff.

Quantifiable outcome

• Designed natural gas processing capacity of 720 MMcf/d (to exceed 1 Bcf/d post-Cardinal acquisition)
• +5 more outcomes

Named customers3 records

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature5 records

Partnerships

Three partnerships are on record, tiered core and major.

• Cardinal Midstream Partners, LLCcoreOthers · 29 June 2026San Mateo has entered into a definitive agreement to acquire the operating subsidiaries of Cardinal Midstream Partners, LLC, a portfolio company of EnCap Flatrock Midstream, for total cash consideration of $752 million. The acquisition includes a cryogenic natural gas processing plant complex in Loving County, Texas with ~320 MMcf/d capacity and approximately 145 miles of natural gas gathering pipelines. Expected to close on or before July 31, 2026.
• EPIC Y-Grade Pipeline, LPmajorTechnology or Integration · 1 March 2018NGL pipeline connection completed at tailgate of Black River Processing Plant providing San Mateo customers firm NGL takeaway out of the Delaware Basin and firm fractionation downstream.
• Plains All American Pipeline, L.P.coreStrategic or Co-development Partner · 22 January 2018Strategic relationship through Joint Tariff arrangement with Plains All American Pipeline subsidiary. Provides crude oil transportation services from wellhead to Midland, Texas covering approximately 400,000 acre joint development area in Eddy County, NM. Plains constructed mainline extension to San Mateo's crude oil system; crude oil shipped under joint FERC tariff.

Scale indicators14 records

Recent moves11 records

Expansion highlights6 records

Direct peers

• Targa Resources: Permian/Delaware Basin midstream operator with natural gas processing, NGL takeaway, and crude gathering. Direct competitor for Delaware Basin gas processing dedications and integrated producer services.
• DCP Midstream: Large natural gas and NGL midstream operator with significant Permian presence. Competes for gas processing dedications and integrated gathering services in the Delaware Basin.
• Western Midstream Partners: Major Delaware and Permian Basin midstream operator with natural gas processing, gathering, and water services. Closest direct peer to San Mateo's integrated three-stream model in the same operating region.

Broad incumbents

• Plains All American Pipeline: Large-scale crude oil and natural gas midstream incumbent and San Mateo's strategic partner via Joint Tariff arrangement for crude transport to Midland, Texas. Provides both direct connectivity and competitive context for San Mateo's oil gathering business.
• Enterprise Products Partners: One of the largest U.S. midstream incumbents with extensive natural gas processing, NGL, and crude transportation infrastructure including Permian/Delaware exposure. Competes for large-scale producer dedications across multiple streams.
• Kinder Morgan: Large diversified midstream incumbent operating natural gas, crude oil, and products pipelines across the U.S. Provides competitive context for interstate crude oil transportation and gas processing services.
• ONEOK: Large natural gas and NGL midstream operator with significant processing and takeaway infrastructure. Relevant benchmark for gas processing contracts and NGL takeaway economics that shape San Mateo's pricing.

Emerging players

• Crestwood Equity Partners: Midstream operator with Delaware Basin and other shale assets providing gas processing, crude gathering, and water services. Comparable integrated midstream offering with overlapping producer customers.
• Genesis Energy: Midstream operator with Permian Basin and offshore Gulf of Mexico assets. Provides comparable scale-up thesis around integrated midstream services and partnership with private equity sponsors.

Others

• Matador Resources Company: San Mateo's 51% owner and anchor customer. While not a midstream competitor, Matador provides extensive operational integration and demand-side visibility that shapes San Mateo's contract structure and growth profile.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles5 records

Subsidiaries4 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A3 records

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about San Mateo Midstream