NextEra Energy Partners LP, Juno Beach, Fla., has agreed to acquire Meade Pipeline Co., part owner of a natural gas pipeline in Pennsylvania, for $1.37 billion, including $90 million future capital contributions related to an expansion opportunity through 2022.
Meade owns 39.2% of the 185-mile Central Penn Line in Pennsylvania’s Susquehanna and Lancaster counties, part of the Atlantic Sunrise gas pipeline system operated by Transcontinental Gas Pipe Line Co. (OGJ Online, Sept. 21, 2018).
Meade was formed in February 2014 by WGL Midstream Inc., a unit of Cabot Oil & Gas Corp., Vega Midstream MPC LLC, and River Road Interests LLC to co-own the Central Penn Line with Transco.
The pipeline has capacity of 1.7 bcfd of Marcellus shale gas, all under contract with nine shippers.
Cabot said it will receive $256 million for its 20% ownership interest in Meade.
NextEra, which owns interests in wind and solar energy and seven gas pipelines in Texas, said the anticipated Central Penn expansion opportunity would add 600 MMcfd of capacity through compression additions at new and existing stations. Meade will own 40% of the incremental capacity.
