KeySpan Facilities Income Fund buying EnerPro Midstream Co.

May 20, 2004
The Alberta-based KeySpan Facilities Income Fund, a midstream trust, agreed to buy EnerPro Midstream Co. for $190 million, plus working capital adjustments, from Chevron Canada Resources, a ChevronTexaco Corp. subsidiary.

By OGJ editors

HOUSTON, May 20 -- The Alberta-based KeySpan Facilities Income Fund, a midstream trust, agreed to buy EnerPro Midstream Co. for $190 million, plus working capital adjustments, from Chevron Canada Resources, a ChevronTexaco Corp. subsidiary.

The sale is expected to close in the third quarter. EnerPro owns and operates natural gas and oil facilities throughout Alberta, and it also owns NGL fractionation facilities at Fort Saskatchewan, Alta.

"Our ongoing portfolio rationalization effort will make us more efficient and improve our competitive position," said ChevronTexaco Vice-Chairman Peter Robertson. "By divesting nonstrategic assets, we can apply a more intense focus on those parts of our portfolio that we believe will deliver the most value to our stockholders."

The New York-based Standard & Poor's Ratings Services said the EnerPro acquisition would not change the Canadian stability rating and outlook on KeySpan Facilities Income Fund.