DT Midstream will finance the transaction with $900 million in debt and about $300 million in equity, the company said when the deal was initially announced in November. (Source: Shutterstock/ ONEOK)
DT Midstream (DTM) has closed its $1.2 billion acquisition of three natural gas pipelines from ONEOK Inc.
DT Midstream acquired full ownership of the Guardian Pipeline, Midwestern Gas Transmission and Viking Gas Transmission, the company said Dec. 31. The acquired pipelines have a total capacity of more than 3.7 Bcf/d and span approximately 1,300 miles across seven states in the Midwest.
“The bolt-on acquisition of these premier pipelines is fully aligned with our pure play natural gas strategy,” said David Slater, DT Midstream president and CEO. “This acquisition also increases the revenue contribution from our pipeline segment, supported by take-or-pay contracts with strong credit quality utility customers.”
ONEOK has said the sale would allow the company to focus on growing its operations in other areas, such as Texas and Colorado.
DT Midstream will finance the transaction with $900 million in debt and about $300 million in equity, the company said when the deal was initially announced in November.
Recommended Reading
Treasury’s New Hydrogen Tax Credit Regs Open Door to NatGas Producers
2025-01-03 - The U.S. Treasury Department’s long awaited 45V hydrogen tax credit will enable “pathways for hydrogen produced using both electricity and methane” as well as nuclear, the department said Jan. 3.
BP Flows First Gas from Greater Tortue LNG Project
2025-01-03 - Once fully commissioned, Phase 1 of the Greater Tortue Ahmeyim LNG project led by operator BP is expected to produce approximately 2.3 MMtonne of LNG annually.
Former IPAA Chair Steven Hinchman Dies at 66
2025-01-03 - During his time with IPAA, Steven Hinchman founded Scala Energy and became its president and CEO.
NatGas in Storage Shows YOY Drop for First Time Since 2022
2025-01-03 - Despite a drop in gas in storage, prices took a hit from forecasts of warmer-than-expected weather.
Biden Blocks Japan’s Nippon Steel from Buying US Steel for $14.9B
2025-01-03 - President Biden cited national security concerns in his decision, but Nippon Steel and U.S. Steel said the decision ignored the law and was motivated by politics.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.