California Resources Corporation has completed its approximately $63 million all-cash acquisition of Crimson Midstream Holdings from CorEnergy Infrastructure Trust.
The transaction received approval from the California Public Utilities Commission on August 13, 2026 and closed September 1.
Crimson’s midstream network expands CRC’s integrated California energy platform and is expected to strengthen the company’s ability to move locally produced oil to higher-value markets while increasing operating flexibility and flow assurance.
CRC also sees potential longer-term opportunities to use Crimson’s pipeline corridors as part of the infrastructure supporting CO2 transportation across California.
For the third quarter of 2026, CRC expects Crimson to contribute approximately $1 million to $2 million of G&A expenses and $1 million to $2 million of capital investment. The company plans to incorporate the business into its updated full-year guidance when it reports third-quarter results.
Jefferies served as financial advisor to CRC, while Evercore advised CorEnergy Infrastructure Trust.
KEY QUOTE:
“As the state’s largest oil producer, the acquisition of this diversified midstream network will enhance our ability to efficiently deliver California-produced barrels directly to the highest-value markets, while increasing operating flexibility and flow assurance across our portfolio. In addition, Crimson’s pipeline corridors add to the broader set of options we’ll continue to evaluate as we look at longer-term development of CO2 transportation across California.”
Francisco Leon, President and Chief Executive Officer of California Resources Corporation
