In May, the company announced a definitive agreement was in place to sell Midcoast Operating and its subsidiaries to AL Midcoast Holdings, an affiliate of ArcLight Capital Partners, for a cash purchase price of CA$1.4 billion (US$1.08 billion).
“We are pleased to have moved quickly to execute and close these transactions at strong valuations,” said Enbridge President and CEO Al Monaco.
Midcoast Operating conducts natural gas and natural gas liquids (NGL) gathering, processing, transportation and marketing businesses, serving established basins in Texas, Oklahoma and Louisiana on behalf of Enbridge (US).
The Midcoast businesses include natural gas gathering, treating, processing and transportation, and NGL transportation, assets located in the East Texas, Western Anadarko and Barnett shale plays.
It consists of approximately 18,025 km of natural gas gathering and transportation pipelines, almost 60 million m3/d of natural gas processing capacity and more than 38 million m3/d of treating capacity.
This is in addition to an NGL logistics and marketing business – including ELTM and Enbridge Marketing (US) and a 35 per cent interest in the Texas Express Pipeline, consisting of a 956 km, 20 inch (508 mm) NGL pipeline; a 35 per cent interest in Texas Express Gathering, consisting of 185 km of NGL pipelines; and other NGL infrastructure comprising the company’s Texas Express NGL pipeline system.