Accelerates Commercial Synergies From Magellan
Acquisition
TULSA,
Okla., May 13, 2024 /PRNewswire/ -- ONEOK, Inc.
(NYSE: OKE) today announced that it has agreed to acquire a system
of natural gas liquids (NGL) pipelines from Easton Energy, a
Houston-based midstream company,
for approximately $280 million,
subject to customary purchase price adjustments.
The transaction includes approximately 450 miles of NGL
pipelines located in the strategic Gulf Coast market centers for
NGLs, refined products and crude oil. These pipelines transport a
wide range of liquids products through a portion of its capacity to
existing customers.
ONEOK plans to connect the pipelines to ONEOK's Mont Belvieu, Texas, NGL infrastructure and
ONEOK's Houston refined products
and crude oil infrastructure, accelerating commercial
synergies.
"This strategic acquisition provides the quickest pipeline
connectivity to and within the critical supply and demand centers
for our NGLs, refined products and crude oil assets in the Gulf
Coast," said Pierce H. Norton II,
ONEOK president and chief executive officer. "We expect that this
acquisition will accelerate the ability to capture commercial
synergies related to our recent Magellan acquisition and future
earnings growth."
ONEOK expects to close the transaction mid-year 2024. Closing is
subject to customary conditions including termination or expiration
of the waiting periods under the Hart-Scott-Rodino Antitrust
Improvements Act.
View a map showing the locations of the pipelines, along with
ONEOK's existing system.
At ONEOK (NYSE: OKE), we deliver energy products and services
vital to an advancing world. We are a leading midstream operator
that provides gathering, processing, fractionation, transportation
and storage services. Through our more than 50,000-mile pipeline
network, we transport the natural gas, natural gas liquids (NGLs),
refined products and crude that help meet domestic and
international energy demand, contribute to energy security and
provide safe, reliable and responsible energy solutions needed
today and into the future. As one of the largest diversified energy
infrastructure companies in North
America, ONEOK is delivering energy that makes a difference
in the lives of people in the U.S. and around the world.
ONEOK is an S&P 500 company headquartered in Tulsa, Oklahoma.
For information about ONEOK, visit the website: www.oneok.com.
For the latest news about ONEOK, find us on LinkedIn, Facebook, X
and Instagram.
Some of the statements contained and incorporated in this news
release are forward-looking statements as defined under federal
securities laws. The forward-looking statements relate to our
anticipated financial performance (including projected levels of
quarterly and annual dividends), liquidity, market conditions and
other matters. We make these forward-looking statements in reliance
on the safe harbor protections provided under federal securities
laws and other applicable laws.
Forward-looking statements include the items identified in the
preceding paragraph, the information concerning possible or assumed
future results of our operations and other statements contained or
incorporated in this news release identified by words such as
"anticipate," "believe," "continue," "could," "estimate," "expect,"
"forecast," "goal," "guidance," "intend," "may," "might,"
"outlook," "plan," "potential," "project," "scheduled," "should,"
"will," "would" and other words and terms of similar meaning.
One should not place undue reliance on forward-looking
statements. Known and unknown risks, uncertainties and other
factors may cause our actual results, performance or achievements
to be materially different from any future results, performance or
achievements expressed or implied by forward-looking statements,
including, without limitation, conditions to the completion of
the acquisition, such as required regulatory clearance, not
being satisfied; closing of the transaction being delayed or
not occurring at all; the occurrence of any event, change
or other circumstance or condition that could give rise to the
termination of the acquisition agreement; and ONEOK being unable to
achieve the anticipated benefits of the transaction. Those factors
may affect our operations, markets, products, services and prices.
These and other risks are described in greater detail in Item 1A,
Risk Factors, in our most recent Annual Report on Form 10-K and in
the other filings that we make with the Securities and Exchange
Commission (SEC), which are available on the SEC's website at
www.sec.gov. All forward-looking statements attributable to us or
persons acting on our behalf are expressly qualified in their
entirety by these factors. Any such forward-looking statement
speaks only as of the date on which such statement is made, and,
other than as required under securities laws, we undertake no
obligation to update publicly any forward-looking statement whether
as a result of new information, subsequent events or change in
circumstances, expectations or otherwise.
Analyst
Contact:
|
Megan Patterson
|
|
918-561-5325
|
Media
Contact:
|
Brad Borror
|
|
918-588-7582
|
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SOURCE ONEOK, Inc.