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Concho Resources Inc. and Frontier Midstream Solutions Announce Midstream Joint Venture

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Joint Venture to Build Beta Crude Connector System in Midland Basin

Concho Resources Inc. (NYSE:CXO) ("Concho") and Frontier
Midstream Solutions IV, LLC ("Frontier") announced today that Concho and
Frontier have executed an agreement to create Beta Crude Connector, LLC
("BCC"). Concho and Frontier will each own a 50% equity interest in BCC,
with Frontier serving as operator. BCC will build and provide crude oil
gathering, transportation and storage services in the Northern Midland
Basin, supporting continued oil production growth in the region.

This press release features multimedia. View the full release here:
https://www.businesswire.com/news/home/20190415005230/en/

The new gathering and transportation system will consist of an
approximately 100-mile gathering system, 250,000 barrels of crude oil
storage facilities as well as truck terminals. The pipeline system will
have the initial capacity to deliver 150,000 barrels per day of crude
oil to multiple delivery points, accessing local refineries and
connecting to several downstream pipelines. Following an open season set
for April 2019, construction will commence, targeting initial flows in
mid-2019.

BCC will file for FERC authority to operate as a common carrier pipeline
and solicit interest from other producers and marketers for capacity on
the new system. In conjunction with the joint venture agreement, Concho
has agreed to enter into a long-term acreage dedication agreement with
BCC.

Jack Harper, President of Concho, commented, "We are excited to partner
again with Frontier in the development of the Beta Crude Connector.
Through the joint venture, we will leverage Frontier's midstream
expertise and enhance the value of our high-quality footprint in the
Midland Basin with a reliable, cost-efficient gathering and
transportation solution. Importantly, this is a compelling investment
opportunity that we can make with no changes to our capital plans."

Dave Presley, Frontier's Chief Executive Officer said, "We are pleased
that Beta Crude Connector will be the latest of our full-service
midstream solutions and our second joint venture partnership with Concho
as we demonstrate our commitment to quality partnerships and solutions
for producers once again. We are pleased to have a world-class producer
in Concho as our partner and are excited with the quality of the
resource behind it. We are dedicated to the successful operations and
growth of the Beta Crude Connector."

Concho Resources Inc.

Concho Resources (NYSE:CXO) is one of the largest unconventional shale
producers in the Permian Basin, with operations focused on acquiring,
exploring, developing and producing oil and natural gas resources.
Concho is at the forefront of applying advanced technology and
large-scale development to safely and efficiently maximize resource
recovery while delivering attractive, long-term economic returns. We are
working today to deliver a better tomorrow for our shareholders, people
and communities. For more information about Concho, visit www.concho.com.

Frontier Midstream Solutions IV, LLC

Frontier Midstream Solutions IV, LLC, headquartered in Tulsa, Oklahoma,
is owned by Frontier Energy Partners II, LLC and certain funds of Energy
Spectrum Capital. The company is a full-service midstream company
focused on the development of new midstream crude oil and natural gas
infrastructure in the Permian Basin and other basins throughout the
lower 48 states. For more information please visit www.frontierenergyllc.com.

Energy Spectrum Capital

Founded in 1995, Energy Spectrum Capital ("Energy Spectrum") is a
Dallas, Texas-based private equity firm focused on partnering with
premier management teams that are pursuing compelling opportunities in
the midstream sector of the North American oil and gas industry. To
date, Energy Spectrum has successfully raised approximately $4.4 billion
of equity capital across eight funds. Frontier Midstream Solutions IV,
LLC is supported with capital from Energy Spectrum Partners VII, LP and
Energy Spectrum Partners VIII, LP, the firm's most recent fund. For more
information please visit www.energyspectrum.com.

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