Enbridge to buy gas gathering, processing system from Atlas

Christopher E. Smith
OGJ Pipeline Editor

HOUSTON, July 29 -- Atlas Pipeline Partners LP reported entering into a definitive agreement to sell its Elk City natural gas gathering and processing system to Enbridge Energy Partners LP for $682 million in cash, subject to working capital adjustments.

The sale includes 800 miles of pipeline, one hydrogen sulfide treating plant, and three cryogenic processing plants in the Texas Panhandle and southwestern Oklahoma. The Elk City system can move 370 MMcfd of gas and produces 20,000 b/d of NGLs. Enbridge plans to integrate the system into its 1,800-mile Anadarko system, already operating in the region with six gas processing plants.

The companies expect the transaction to close by yearend, pending regulatory approvals.

Atlas described the sale as providing growth opportunities, particularly in its Laurel Mountain Midstream asset in the Marcellus shale, and reducing commercial risk.

Contact Christopher E. Smith at chriss@ogjonline.com.

Related Articles

IHS International: US poised to lead world exports of LPG

03/25/2014 US shale gas development has the country poised to become a major global supplier of LPG, mainly to Asia, during 2015-20 with US exports outdistanc...

DCP Midstream to expand Permian sour processing capacity

03/20/2014 DCP Midstream LLC, Denver, will build a 200-MMcfd sour natural gas processing plant in Lea County, NM, to meet demand from growing Permian basin pr...

EPP lets contract for another Gulf Coast PDH unit

03/18/2014 Enterprise Products Partners LP (EPP), Houston, has let a $100 million contract to CB&I, Houston, for pipe fabrication for a propane dehydrogen...

GTL plant planned for Kazakhstan

03/17/2014 Kazakhstan and CompactGTL have signed a memorandum of cooperation to develop and implement associated gas processing technologies for the world’s f...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!


Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected