Olenox Industries Inc. announced on April 10 that it has updated the terms of its non-binding letter of intent to purchase the midstream business and transportation assets of Vivakor Inc.’s wholly owned subsidiary, CPE Gathering MidCon LLC. The business operates the Omega pipeline system, which provides crude oil gathering, transportation, terminaling, and pipeline connectivity in the Oklahoma STACK play.
The amendment shifts the targeted closing from March 31, 2026, to April 30, 2026, with a firm outside date of no later than May 15, 2026. Company officials cited the need for continued due diligence and alignment with audit requirements from both sides as the main reasons for the adjustment.
The transaction remains valued at approximately $36 million. Payment will consist of a mix of cash, a promissory note, common stock, and preferred stock. The valuation is based on $4.56 million in annual EBITDA backed by a take-or-pay guarantee from Vivakor.
The Omega system functions as an on-basin midstream platform designed to deliver fee-based cash flows for operators. It helps producers lower hauling and terminaling costs while offering scalable technology integration options that can boost uptime and cut operating expenses. Producers also gain flexible, cost-effective access to storage, blending facilities, and pipeline injection points.
For Olenox, the acquisition fits into a broader strategy of acquiring and integrating assets to create a stronger energy, technology, and infrastructure platform. Adding the midstream operations would expand the company’s service market, increase predictable fee-based revenue streams, and reduce exposure to commodity price swings. It would also create operational synergies by linking gathering and terminaling assets with Olenox’s existing field services, potentially lowering per-well costs and improving overall efficiency.
Olenox Industries operates as a vertically integrated energy company with three main divisions focused on oil and gas, energy services, and energy technologies. The company acquires and optimizes underdeveloped oil and gas assets primarily in Texas, Kansas, and Oklahoma. It supports these operations through specialized well services and proprietary technologies to boost production and unlock value across the energy value chain.
Vivakor brings complementary midstream capabilities through CPE Gathering. The subsidiary’s assets are positioned to support producers in one of Oklahoma’s key oil-producing regions, where demand for efficient gathering and transportation infrastructure remains steady.
The original letter of intent was signed in late January 2026. Both parties have continued working through the process since then, with the recent amendment reflecting a measured approach to finalizing the deal rather than any change in strategic intent.
This move comes as small- and mid-sized energy companies look to consolidate assets in mature basins such as the STACK play. Integrated operations that combine upstream production support with midstream logistics have become increasingly attractive as operators seek to control costs and improve margins in a competitive environment.
Olenox has indicated that the acquisition, once completed, would strengthen its position in the region and align with its goal of building a more resilient business model less dependent on volatile commodity prices. The company continues to pursue opportunities that enhance its integrated offerings across the energy lifecycle.
Details of the final agreement will be subject to successful completion of due diligence, negotiation of definitive documents, and any required approvals. No assurances have been given that the transaction will ultimately close on the revised timeline or at all.
The announcement highlights ongoing activity in the midstream sector, where infrastructure assets that generate stable, fee-based income continue to draw interest from companies aiming to diversify and scale their operations in core U.S. shale regions.
Olenox Industries trades on NASDAQ under the ticker OLOX, while Vivakor operates on the OTC market under VIVKD. Further updates are expected as the parties progress toward closing.
