By OGJ editors
HOUSTON, Sept. 17 -- Atlas Pipeline Partners LP, Philadelphia, has agreed to acquire Alaska Pipeline Co. from Semco Energy Inc., Farmington Hills, Mich., for $95 million.
The transaction is subject to various regulatory approvals, including the Regulatory Commission of Alaska.
APC owns and operates gas pipelines that transport gas from Alaska's Cook Inlet gas fields to Enstar Natural Gas Co.'s distribution system.
Enstar, a Semco division, has committed to use APC exclusively for its gas transmission service to Anchorage for 10 years, and it will provide operating and maintenance services to APC for at least 5 years.
The APC system's delivery capacity is 410 MMcfd with an average throughput of 132 MMcfd last year.
Alaska Gov. Frank H. Murkowski said the transaction will mean greater capital investment in gas exploration and development in Cook Inlet.
"Enstar has indicated to me that the sale will improve Semco's capital structure, which is crucial for continued gas exploration," Murkowski said. "We welcome this kind of restructuring, and the potential new exploration and development it will support."
Atlas Pipeline Partners owns and operates natural gas pipeline gathering systems. Its primary asset consists of 1,380 miles of intrastate gathering systems in eastern Ohio, western New York, and western Pennsylvania.
