A DTE Energy subsidiary has agreed to acquire another 30% stake in the Stonewall Gas Gathering (SGG) system in West Virginia from WGL Midstream Inc. for $275.3 million.

DTE Midstream reached an agreement earlier this month to boost its ownership to 85%.  Completing the transaction is subject to various conditions, including satisfying third-party rights.

DTE has operated the 67-mile, 36-inch diameter SGG for about three years since it took a 55% ownership stake in 2016 at the same time it acquired the Appalachian Gathering System.

Detroit-based DTE has announced plans to close most of its coal-fired power plants in the coming years and invest heavily in gas-fired and other generating assets to help fuel its growth outlook.

“Expanding our ownership in SGG has strong strategic rationale,” said DTE Midstream President David Slater. “SGG complements our existing midstream business and provides a platform for continued value creation supported by a solid underlying resource.”