Berkshire Hathaway Energy is boosting its ownership stake in Cove Point LNG through a $3.3 billion acquisition from Dominion Energy.
Berkshire Hathaway Energy has agreed to purchase Dominion’s 50% limited partnership stake in Cove Point LNG LP, an LNG export terminal complex in Lusby, Maryland.
![Berkshire Hathaway buys interests in Cove Point LNG](/sites/default/files/inline-images/Warren%20Buffett%20%282%29_0.jpg)
When the deal closes, the acquired interest will be held by Berkshire Hathaway Energy subsidiary BHE GT&S, which currently serves as the general partner and operator of Cove Point.
The transaction increases to 75% Berkshire’s ownership interest in the Cove Point LNG limited partnership, the company said in a July 10 news release. The remaining 25% limited partnership interest is held by a subsidiary of Brookfield Infrastructure Partners.
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“We are proud of our operations at Cove Point and are excited for this opportunity to increase our ownership in these world-class facilities,” said BHE GT&S President Paul Ruppert. “The Cove Point team will continue to focus on providing safe, affordable and reliable service to its valued customers.”
The $3.3 billion deal will be funded with cash on hand, including cash realized from liquidating certain investments, Berkshire said.
In 2020, BHE acquired a 25% stake in the Cove Point LNG limited partnership through a major acquisition from Dominion. The nearly $10 billion transaction also included interstate gas transmission pipelines and gas storage capacity, according to Securities and Exchange Commission filings.
Gibson, Dunn & Crutcher LLP is advising Berkshire Hathaway Energy on the deal.
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