Energy Transfer to Buy Vaquero Midstream

The Tip Desk · November 3, 2026 · 2 min read

The energy infrastructure partnership agreed to acquire the midstream company as it continues to expand its liquids and NGL platform.

Energy Transfer (ET) agreed to acquire Vaquero Midstream LLC, the energy infrastructure partnership said.

The deal adds another midstream asset to a partnership that has been expanding its liquids, NGL and natural-gas transportation network. Energy Transfer said it expects to invest $5.4 billion to $5.6 billion in growth capital for 2026, lowered from its previous range of $5.6 billion to $5.9 billion.

In the second quarter of 2026, the partnership reported Adjusted EBITDA of $5.07 billion, up 31% from $3.87 billion a year earlier, and Distributable Cash Flow attributable to partners, as adjusted, of $2.59 billion, up 32% from $1.96 billion. It now expects full-year 2026 Adjusted EBITDA of $19.7 billion to $19.9 billion.

Operational volumes have continued to rise. In the second quarter, NGL transportation volumes were up 13% and NGL exports were up 25%, both setting partnership records. In the first quarter, NGL and refined products terminal volumes were up 19%, NGL exports were up 19%, crude oil transportation volumes were up 8%, and midstream gathered volumes were up 6%.

The partnership has also been adding processing and terminal capacity. In October 2026 it placed the 275 MMcf/d Mustang Draw II processing plant into service in the Midland Basin. In September 2025 it executed agreements to expand its Price River Terminal in Utah to double export capacity of American Premium Uinta oil. In the first quarter of 2026, the Gateway NGL Pipeline debottlenecking project was placed into service, increasing deliveries of Delaware Basin volumes to the NGL fractionation complex at Mont Belvieu.

Energy Transfer said the Vaquero Midstream acquisition fits that expansion of its midstream infrastructure. The acquisition is expected to close in the fourth quarter of 2026, subject to regulatory approval and customary closing conditions.