By OGJ editors
HOUSTON, Nov. 18 -- Enbridge Inc., Calgary, has agreed to buy Shell Gas Transmission LLC from Shell US Gas & Power LLC in a $613 million transaction that includes most of Shell's Gulf of Mexico natural gas pipeline business.
The sale, expected to close by yearend, is part of Shell's ongoing program to grow its upstream business and focus on core downstream activities.
Shell Gas Transmission owns or has an interest in 11 gulf pipelines in operation or under construction, with a combined landed capacity of 4.7 bcf/d. The business has assets across gulf production areas.
After the deal is completed, Shell's exploration and production business will retain contracted long-term access to the pipelines and will be an Enbridge customer. Shell will retain select gas gathering assets.