Spectra to divest Canadian NGL business to Plains Midstream
Spectra Energy announced this week that its indirect subsidiary, Westcoast Energy, has entered into an agreement to sell its ownership interests in Spectra’s Canadian natural gas liquids (NGL) business to Plains Midstream Canada.
Plains is a large-scale, experienced operator in the Canadian NGL space. The cash purchase price of the deal is approximately C$200 million, plus customary closing adjustments.
The transaction includes Westcoast’s Canadian NGL integrated system of assets, consisting of the Empress NGL extraction and fractionation facility, the PTC transmission pipeline, seven NGL terminals and two NGL storage facilities in Western Canada.
"This divestiture reinforces Spectra Energy’s intent to focus on investing in stable, fee-based natural gas infrastructure in Western Canada," said Greg Ebel, president and CEO of Spectra Energy.
"The Empress NGL business has served us well over the past decade, and monetizing it at this time benefits our investors and allows Empress to continue delivering on its successful track record,” he added.
Subject to customary regulatory approvals and other closing conditions, the transaction is expected to close during the first half of the year.
- Gasum powers Equinor's platform supply vessel with bio-LNG
- ADNOC deploys pioneering AI-enabled process optimization technology
- Mexico Pacific announces long-term LNG SPA with POSCO International
- ONEOK to acquire Medallion and controlling interest in EnLink for $5.9 B
- Golar LNG signs EPC deal for $2.2-B MK II FLNG conversion project
Comments