Spectra Energy Partners LP is acquiring a 38.76% interest in Maritimes & Northeast Pipeline LLC (M&N) from Spectra Energy Corp. for $319 million in cash and $56 million in newly issued partnership units. M&N owns a 338-mile mainline interstate natural gas pipeline that extends from the border of Canada near Baileyville, ME, to northeastern Massachusetts with delivery capability of 0.8 Bcf/d. The pipeline’s location and interconnects with Spectra’s transmission system link regional natural gas supplies to the Northeast United States and Atlantic Canadian markets. M&N cash flows are backed by an average contract life of approximately 19 years and more than 90% fee-based revenues. The deal is being be through a combination of debt and equity; closing is set for the end of October.
Acquiring
Articles from Acquiring
Double Eagle Takes Bigger Stake in Atlantic Rim, Sells Wyoming Leases
Double Eagle Petroleum Co. said Tuesday it is joining Warren Resources Inc. to increase its stakes in Wyoming’s Atlantic Rim by acquiring some of Anadarko Petroleum Corp.’s remaining interests.
Plains Exploration Pays $6.1B for GOM Assets
Houston-based Plains Exploration & Production Co. is paying $5.55 billion for deepwater Gulf of Mexico (GOM) oil and gas properties it is acquiring from BP Exploration & Production Inc. and BP America Production Co. A separate deal with Shell Offshore Inc. in the GOM is worth another $560 million.
Industry Briefs
South Jersey Energy has bought the retail marketing book of Pennsylvania customers from CenterPoint Energy Services, acquiring “a strong book of business that fits well with its northeast footprint,” South Jersey said. The more than 1,000 commercial and industrial customers acquired are primarily retail natural gas sales within the utility service areas of UGI, Columbia Gas of Pennsylvania, PECO Energy and Equitable.”This sale was made possible by significant changes in Pennsylvania’s competitive landscape,” South Jersey said. “Natural gas production in the Marcellus Shale has expanded dramatically, and the state’s electricity market is fully deregulated. This market supports [parent company South Jersey’s Industries’] existing wholesale gas sales efforts in the Marcellus Shale.”
Plains Exploration Spending $6.1B on BP, Shell GOM Assets
Houston-based Plains Exploration & Production Co. is paying $5.55 billion for deepwater Gulf of Mexico (GOM) oil and gas properties it is acquiring from BP Exploration & Production Inc. and BP America Production Co. A separate deal with Shell Offshore Inc. in the GOM is worth another $560 million.
FMC Builds Fracturing Services with Pure Energy Acquisition
To build its “shale-related businesses,” Houston-based oilfield services operator FMC Technologies Inc., better known for its subsea business, is acquiring Calgary’s Pure Energy Services Ltd. for US$285 million.
Kinder Dropping Down Tennessee, El Paso Natural Gas
Kinder Morgan Energy Partners LP (KMP) is acquiring 100% of Tennessee Gas Pipeline (TGP) and a 50% interest in El Paso Natural Gas (EPNG) pipeline from Kinder Morgan Inc. (KMI) for $6.22 billion.
TPG Targets Conventional Gas With New $1B Fund
Private capital firm TPG Capital is ponying up $1 billion to fund a new venture focused on acquiring and operating conventional natural gas producing properties in North America.
TPG Forms $1B Fund to Target Conventional Gas
Private capital firm TPG Capital is ponying up $1 billion to fund a new venture focused on acquiring and operating conventional natural gas producing properties in North America.
Marathon Scouts More Eagle Ford Acreage
Marathon Oil Corp. CEO Clarence Cazalot said the company was close to acquiring additional acreage in the Eagle Ford Shale that would increase its position to more than 300,000 net acres by the end of 2011, with an exit rate of about 18,000 boe/d.
