U.S. Pipeline Giant Eyes $5.5 Billion Deal to Expand LNG Reach
Oil Prices Climb as U.S.-Iran Flare-Up Shakes Market Complacency What I Cover Tsvetana Paraskova is an energy and commodities journalist who has contributed to Oilprice.com for nearly a decade, covering global energy markets, commodities,… U.S.
natural gas pipeline giant Williams could be close to one of its biggest acquisitions ever as it is in late-stage talks to acquire gas pipeline operator Momentum Midstream in a deal estimated to be worth about $5.5 billion, sources with knowledge of the development have toldBloomberg.
Tulsa-based Williams could announce within weeks the deal to buy Momentum Midstream from private equity firm EnCap Flatrock Midstream, according to Bloomberg’s anonymous sources.
The agreement is not a done deal yet, as no final decision on the transaction has been made.
EnCap Flatrock Midstream was createdin 2008by Flatrock Energy Advisors and EnCap Investments L.P.
The private equity firm has several midstream assets in the energy sector, including Momentum Midstream.
Momentumowns and operatesthe only pure pipeline header system spanning the entirety of the Haynesville Shale, directly connecting what it describes as “decades' worth of drilling inventory” with multiple gas-fired power plants, city gates, and industrial and petrochemical facilities along the U.S.
Momentum Midstream’s NG3 pipeline, 250 miles long and with a total capacity of 2.3 Bcf/d, directly links the Haynesville to the epicenter of LNG demand in Gillis, Louisiana.
In total, Momentum Midstreamoperatesabout 4,000 miles of pipelines, with 6 Bcf/d of system capacity, servicing 34 industrial end users, 26 power plants, 16 city gates, and 10 LNG facilities.
If Williams buys Momentum Midstream, the U.S.
gas pipeline giant will gain additional exposure to the takeaway capacity of Haynesville shale to the booming U.S.
Williams, whose operations span the deepwater U.S.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
Comments
Post a Comment