Western Midstream amends Delaware Basin gas gathering with Occidental, redeems 15.3M WES units

Western Midstream Operating, LP

Occidental transfers ~15.3M WES common units (~$610M) to be redeemed; ownership drops from ~42% to ~40%.
Fixed-fee structure replaces cost-of-service; only ~9% of WES revenue remains subject to cost-of-service.
New ConocoPhillips agreement reduces related-party revenue by >10%, diversifies customer base.
Contract liability increased to ~$560M, recognized as revenue ~$165M/yr through 2032; ~$90M/yr from fee reset.
WES expects net leverage at ~3.0x in 2026 despite $1.1B capex and Aris integration; no Adjusted EBITDA reduction through 2027.

Key facts

Extracted from this filing and checked against the source text.

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

Western Midstream Operating, LP entered into Unit Redemption Agreement with Occidental Petroleum Corporation valued at approximately 15.3 million WES common units (effective 2026-01-16).

Action: entry
Counterparty: Occidental Petroleum Corporation
Value: approximately 15.3 million WES common units
Effective: 2026-01-16

Exact text from the filing

the Partnership’s parent, Western Midstream Partners, LP (“WES”) and subsidiaries of Occidental also entered into a unit redemption agreement (“Unit Redemption Agreement”) providing for the transfer to, and redemption by WES, on February 3, 2026 of approximately 15.3 million WES common units.

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Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

Western Midstream Operating, LP entered into GGA Amendment with Anadarko E&P Onshore LLC (effective 2026-01-16).

Action: entry
Agreement: supply
Counterparty: Anadarko E&P Onshore LLC
Effective: 2026-01-16

Exact text from the filing

On January 16, 2026, Delaware Basin Midstream LLC (“DBM”), a subsidiary of Western Midstream Operating, LP (the “Partnership”), entered into an amendment (“GGA Amendment”) to its Delaware Basin gas gathering agreement with Anadarko E&P Onshore LLC (“AEP”), a subsidiary of Occidental Petroleum Corporation (“Occidental”), dated effective January 1, 2018

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289 material agreements filed in the last 30 days. Browse all material agreements →

Source: SEC EDGAR

accession 0001414475-26-000004

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