Crestwood Closes Previously Announced Buy-In Option with Shell Midstream Partners in the Delaware Basin

10/18/2017

HOUSTON--(BUSINESS WIRE)-- Crestwood Equity Partners LP (NYSE: CEQP) (“Crestwood” or “CEQP”) announced today the closing of the previously announced equity option agreement with Shell Midstream Partners, L.P. (NYSE:SHLX)(“Shell Midstream”), a master limited partnership formed by Royal Dutch Shell plc (“Shell”), to purchase a 50% equity interest in Crestwood Permian Basin LLC which owns the Nautilus gas gathering system. The other 50% equity interest continues to be owned by Crestwood Permian Basin Holdings LLC (“CPJV”). The Nautilus system gathers the majority of Shell’s operated Delaware Basin gas under a 20-year tiered, fixed-fee contract.

Robert G. Phillips, Chairman, President and Chief Executive Officer of Crestwood’s general partner, commented, “We are pleased to begin our partnership with Shell Midstream in the Delaware Basin. Crestwood expects to use the proceeds to reinvest in on-going accretive growth projects and reduce borrowings under our revolving credit facility.”

About Crestwood Permian Basin Holdings LLC

Crestwood Permian Basin Holdings LLC (“CPJV”) is a 50%/50% joint venture between Crestwood Equity Partners LP and First Reserve, a leading global private equity investment firm exclusively focused on energy, focused on developing, owning and operating midstream infrastructure in the Delaware Basin.

About First Reserve

First Reserve is a leading global private equity investment firm exclusively focused on energy. With nearly 35 years of industry insight, investment expertise and operational excellence, the Firm has cultivated an enduring network of global relationships and raised approximately USD $31 billion of aggregate capital since inception. First Reserve has completed over 600 transactions (including platform investments and add-on acquisitions), creating several notable energy companies throughout the Firm’s history. Its portfolio companies operate on six continents, spanning the energy spectrum from upstream oil and gas to midstream and downstream, including resources, equipment and services, and associated infrastructure. Visit us at www.firstreserve.com for more information.

About Crestwood Equity Partners LP

Houston, Texas, based Crestwood Equity Partners LP (NYSE: CEQP) is a master limited partnership that owns and operates midstream businesses in multiple unconventional shale resource plays across the United States. Crestwood is engaged in the gathering, processing, treating, compression, storage and transportation of natural gas; storage, transportation, terminalling, and marketing of NGLs; and gathering, storage, terminalling and marketing of crude oil.

Forward Looking Statements

This press release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal securities law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. These risks and assumptions are described in Crestwood’s annual reports on Form 10-K and other reports that are available from the United States Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management’s view only as of the date made. We undertake no obligation to update any forward-looking statement, except as otherwise required by law.

Source: Crestwood Equity Partners LP

Crestwood Equity Partners LP

Investor Contacts

Josh Wannarka, 713-380-3081

josh.wannarka@crestwoodlp.com

Vice President, Investor Relations

or

Elizabeth Suman, 832-519-2276

elizabeth.suman@crestwoodlp.com

Manager, Investor Relations & Corporate Communications

or

First Reserve

Media Contact

Joele Frank, Wilkinson Brimmer Katcher

Jonathan Keehner / Julie Oakes, 212-355-4449

joakes@joelefrank.com

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