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Service Compression, a provider of natural gas compression services for oil and gas producers, has increased the size of its asset-based lending credit facility to $400 million, up $100 million from the previous agreement.
The expanded facility closed Dec. 17 and is led by J.P. Morgan, according to a press release.
The larger credit line gives the company additional financial flexibility to grow its compression fleet, invest in new technologies, and meet strong customer demand in its core operating regions. The transaction reflects Service Compression’s solid operating performance, quality asset base, and disciplined approach to spending and growth.
“This $100 million increase underscores the strength of our platform and the confidence our partners have in our strategy,” said Rhett Newberry, Service Compression CEO. “With continued support from J.P. Morgan, Warburg Pincus, and Masked Rider Capital, we are well positioned to expand our fleet, invest in technology, and continue delivering reliable, high-performance solutions to our customers.”
The expanded facility builds on Service Compression’s long-standing relationship with J.P. Morgan, according to a press release, and is backed by equity sponsors Warburg Pincus and Masked Rider Capital.
The company said demand remains strong for Service Compression’s gas and electric compression units, driven by customers seeking reliable equipment, proactive service, and lower-emissions solutions. Its electric and gas compression offerings are designed to enhance reliability, reduce emissions, and comply with evolving regulatory standards.
The additional capital will support expansion in key markets, faster deployment of new equipment, and continued investment in proprietary technology aimed at improving uptime and performance.