Loews Corp. buying pipeline from Entergy-Koch

Nov. 24, 2004
TGT Pipeline LLC, a subsidiary of Loews Corp., New York, agreed to buy an 8,000-mile interstate natural gas pipeline system from Entergy-Koch LP for $1.136 billion.

By OGJ editors

HOUSTON, Nov. 24 -- TGT Pipeline LLC, a subsidiary of Loews Corp., New York, agreed to buy an 8,000-mile interstate natural gas pipeline system from Entergy-Koch LP for $1.136 billion.

The sale of the pipeline, Gulf South Pipeline Co. LP, is expected to close by yearend. Gulf South is a subsidiary of Entergy-Koch LP, a 50:50 venture of Entergy Corp., New Orleans, and Koch Energy Inc., Wichita, Kan.

Entergy-Koch was formed during the energy-trading boom in 2000, which ended after the financial collapse of Enron Corp. in 2001. Entergy-Koch announced plans earlier this year to sell its trading and pipeline businesses in two separate transactions.

TGT Pipeline is the holding company for Texas Gas Transmission LLC. Loews bought the 5,800-mile Texas Gas Transmission from Williams Cos. in April 2003.