Western Midstream announced the closing of its acquisition of Meritage Midstream Services II LLC on Oct. 13.
The purchase, announced in early September for $885 million, was paid for with cash on hand and a $600 million issuance of senior grade notes, according to a statement from Western.
With the acquisition, Western takes over privately held Meritage’s natural gas gathering and processing business in the Powder River Basin of Wyoming, with approximately 1,500 miles of high- and low- pressure natural gas pipelines. The lines are supported by more than 1.4 million dedicated acres controlled by a diverse set of investors.
Western believes expanding its footprint in the Power River Basin is a strong move, considering the steady development of the area by E&P companies, President and CEO Michael Ure said when the acquisition was announced.
Recommended Reading
For Sale? Trans Mountain Pipeline Tentatively on the Market
2024-04-22 - Politics and tariffs may delay ownership transfer of the Trans Mountain Pipeline, which the Canadian government spent CA$34 billion to build.
Summit Midstream Sells Utica Interests to MPLX for $625MM
2024-03-22 - Summit Midstream is selling Utica assets to MPLX, which include a natural gas and condensate pipeline network and storage.
Phillips 66 Explores Sale of Pipeline Stake Worth Over $1B, Sources Say
2024-03-26 - The Rockies Express Pipeline is a 2730-km interstate natural gas pipeline stretching from Wyoming and Colorado in the West to Ohio.
Waha NatGas Prices Go Negative
2024-03-14 - An Enterprise Partners executive said conditions make for a strong LNG export market at an industry lunch on March 14.
Summit Midstream Launches Double E Pipeline Open Season
2024-04-02 - The Double E pipeline is set to deliver gas to the Waha Hub before the Matterhorn Express pipeline provides sorely needed takeaway capacity, an analyst said.