Crosstex Energy LP, a Dallas-based midstream natural gas company, announced late Wednesday that it had executed a definitive agreement to acquire from Williams certain onshore pipeline assets south of its Transco Compressor Station 30 in Wharton County, TX, for $27.4 million.

Closing on the interstate pipes is subject to receipt of abandonment authorization from interstate service, which would result in the pipeline being integrated into Crosstex’s existing intrastate pipelines and no longer subject to Federal Energy Regulatory Commission jurisdiction. The filing is expected to be made with FERC by Williams and Crosstex within the next three weeks. Proceedings are expected to take three to nine months to complete.

Crosstex is also currently finalizing agreements with Williams to acquire two unregulated pipeline assets that are interconnected with the Transco assets for $2.6 million.

“These assets will provide access to significant additional supplies of rich and lean gas, opportunities to further optimize and integrate operations on our intrastate Gulf Coast and CCNG systems, and access to new markets in Texas,” said Crosstex CEO Barry E. Davis. “In the future, these assets will provide Crosstex additional opportunities to serve gas producers and markets in deep South Texas, not currently accessed by our existing pipeline systems, as well as enhance our overall position in this key gas supply and market region.”

The Transco assets, located in 15 counties in South Texas, include 500 miles of 24- and 26-inch diameter pipeline. The lines extend from Hidalgo County in the south across the company’s CCNG and Gulf Coast systems to Wharton County in the north and west to McMullen County. Current throughput is about 200,000 MMBtu/d, with a capacity of 600,000 MMBtu/d

Crosstex currently provides services for more than 1.5 Bcf/d of gas, and operates more than 4,500 miles of pipeline, five processing plants and more than 60 natural gas treating plants.

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