By OGJ editors
HOUSTON, Sept. 3 -- Kinder Morgan Energy Partners LP agreed to acquire natural gas treating plants from Crosstex Energy LP and Crosstex Energy Inc. for $266 million.
The transaction involves 290 amine-treating and dew-point control plants primarily in Texas and Louisiana. Other plants are in Mississippi, Oklahoma, Arkansas, and Kansas.
Richard D. Kinder, KMP chairman and chief executive officer, said these assets are expected to be accretive to unitholders upon closing, which is anticipated by yearend.
Raymond James & Associates Inc. analysts said the transaction will enable Crosstex to pay $88 million in debt due Mar. 10, 2010.
“Recall, this follows the recent sale of its Mississippi, Alabama, and South Texas midstream assets earlier this month ($212 million of debt paydown),” Raymond James said of Crosstex.