Williams Partners Completes Transactions to Acquire Additional Interests in Two Marcellus Shale Gathering Systems & Sell Owne...
March 30 2017 - 07:45AM
Business Wire
Williams Partners L.P. (NYSE: WPZ) today announced that it has
completed separate transactions with Western Gas Partners, LP
(NYSE: WES) (“Western Gas”), Anadarko Petroleum Corporation (NYSE:
APC) (“Anadarko”), and Energy Transfer Partners, L.P. (NYSE: ETP)
(“Energy Transfer”), and certain of their respective affiliates,
for an aggregate cash consideration of $200 million paid to
Williams Partners and an increase in Williams’ Partners’ ownership
in two Marcellus Shale gathering systems, in exchange for Williams
Partners’ assignment of interests in certain non-operated Delaware
Basin assets.
Under the transaction with Western Gas, closed earlier in the
month, Williams Partners increased its ownership stake in two
Marcellus Shale natural gas gathering systems already operated by
Williams Partners. In exchange, Western Gas and its affiliates
received Williams Partners’ 50 percent ownership stake in certain
gathering systems in the Delaware Basin that are operated by
Western Gas. Under the terms of the transaction, Williams Partners
received Western Gas’ 33.75 percent ownership stake in both the
Rome and Liberty natural gas gathering systems in northern
Pennsylvania, and a cash payment of $155 million.
The completion of this transaction increases Williams Partners’
ownership interest to 67.5 percent in both the Rome and Liberty
gathering systems that are operated by Williams Partners and
included in its Bradford Supply Hub in the Northeast G&P
segment. Current throughput on the Rome and Liberty gathering
systems is approximately 1.6 billion cubic feet per day.
Under the separate transactions with Anadarko and Energy
Transfer, Williams Partners sold each of them half of its 33 1/3
percent interest in Ranch Westex JV LLC, owner of the Bone Springs
gas processing plant in the Delaware Basin, for a total of $45
million in cash ($22.5 million each).
Williams Partners expects to use the $200 million aggregate cash
consideration for general partnership purposes including funding
growth capital.
About Williams Partners
Williams Partners is an industry-leading, large-cap natural gas
infrastructure master limited partnership with a strong growth
outlook and major positions in key U.S. supply basins. Williams
Partners has operations across the natural gas value chain from
gathering, processing and interstate transportation of natural gas
and natural gas liquids to petchem production of ethylene,
propylene and other olefins. Williams Partners owns and operates
more than 33,000 miles of pipelines system wide – including the
nation’s largest volume and fastest growing pipeline – providing
natural gas for clean-power generation, heating and industrial use.
Williams Partners’ operations touch approximately 30 percent of
U.S. natural gas. Tulsa, Okla.-based Williams (NYSE: WMB), a
premier provider of large-scale U.S. natural gas infrastructure,
owns approximately 74 percent of Williams Partners.
Portions of this document may constitute “forward-looking
statements” as defined by federal law. Although the partnership
believes any such statements are based on reasonable assumptions,
there is no assurance that actual outcomes will not be materially
different. Additional information about issues that could lead to
material changes in performance is contained in the partnership’s
annual and quarterly reports filed with the Securities and Exchange
Commission.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170330005240/en/
Williams Partners L.P.Media Contact:Keith Isbell,
918-573-7308orInvestor Contacts:John Porter,
918-573-0797orBrett Krieg, 918-573-4614
Williams Partners (NYSE:WPZ)
Historical Stock Chart
From Feb 2024 to Mar 2024
Williams Partners (NYSE:WPZ)
Historical Stock Chart
From Mar 2023 to Mar 2024