By OGJ editors
HOUSTON, Feb. 28 -- Enterprise GP Holdings LP, a unit of privately held Enterprise Products Co. Inc. (EPCO Inc.), acquired Texas Eastern Products Pipeline Co. LLC, a general partner of TEPPCO Partners LP, from Duke Energy Field Services LLC. The deal is valued at $1.1 billion.
TE Products Pipeline, one of the largest common-carrier products pipelines in the US, extends 4,600 miles from Texas to the US Midwest and Northeast. The 330,000 b/d system transports refined products, LPGs, and petrochemicals. TE Products Pipeline also has 17 million bbl of product storage and 37 million bbl of LPG storage.
With this transaction, TE Products Pipeline becomes a wholly owned subsidiary of Enterprise GP. No regulatory approval for the deal is required, said Barry Pearl, TEPPCO Partners CEO.
"General partners of both TEPPCO and Enterprise will operate independently and will maintain separate boards of directors, management teams, and offices," he said. In addition, TEPPCO and Enterprise will "continue to separately and independently pursue their respective growth strategies and commercial opportunities."
In a separate transaction, EPCO Inc. and its affiliates have agreed to purchase 2.5 million TEPPCO LP units valued at $100 million from Duke Energy Corp.