Williams Completes Sale of Several Gulf Coast Pipeline Systems
December 06 2018 - 8:15AM
Business Wire
Williams (NYSE: WMB) today announced the sale of certain
pipeline systems located in the Gulf Coast area to Easton Energy
LLC for $177 million in cash. The sale closed on Nov. 30, 2018.
The 31-mile Texas Belle Pipeline, which transports natural gas
liquids from Mont Belvieu to customers along the Houston Ship
Channel is included in this transaction as are the Purity Pipeline
System, certain assets in the Live Oak Pipeline System and
additional idle pipelines located along the Gulf Coast.
Proceeds from the transaction will contribute to funding
Williams’ extensive portfolio of attractive growth capital and
investment opportunities. Williams’ previous 2019 guidance is not
impacted by this transaction.
“We continue to assess and execute on opportunities to optimize
our portfolio,” said Williams Senior Vice President for Corporate
Strategic Development, Chad Zamarin. “We’re pleased to be able to
leverage these assets, which were not core to our business
strategy, into a source for growth capital and a driver for
improved credit metrics.”
Post this transaction, Williams’ Atlantic-Gulf business segment
still includes 506 miles of purity product pipelines.
Credit Suisse Securities (USA) LLC served as the lead financial
adviser to Williams for this transaction.
About Williams
Williams (NYSE: WMB) is a premier provider of large-scale
infrastructure connecting U.S. natural gas and natural gas products
to growing demand for cleaner fuel and feedstocks. Headquartered in
Tulsa, Okla., Williams is an industry-leading, investment grade
C-Corp with operations across the natural gas value chain including
gathering, processing, interstate transportation and storage of
natural gas and natural gas liquids. With major positions in top
U.S. supply basins, Williams owns and operates more than 33,000
miles of pipelines system wide – including Transco, the nation’s
largest volume and fastest growing pipeline – providing natural gas
for clean-power generation, heating and industrial use. Williams’
operations handle approximately 30 percent of U.S. natural gas.
www.williams.com
About Easton Energy LLC
Easton Energy is a Houston based midstream company focused on
developing infrastructure assets that support the transportation,
storage, and processing of natural gas liquids (NGL), refined
products, and petrochemicals. Easton’s primary assets include
liquid hydrocarbon salt cavern storage facilities at Markham, TX
and approximately 416 miles of product distribution pipelines that
connect key product markets along the Texas and Louisiana Gulf
Coast. Easton Energy is backed by Cresta Energy Capital. For more
information, please visit: www.easton.energy
Portions of this document may constitute “forward-looking
statements” as defined by federal law. Although the company
believes any such statements are based on reasonable assumptions,
there is no assurance that actual outcomes will not be materially
different. Any such statements are made in reliance on the “safe
harbor” protections provided under the Private Securities Reform
Act of 1995. Additional information about issues that could lead to
material changes in performance is contained in the company’s
annual and quarterly reports filed with the Securities and Exchange
Commission.
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version on businesswire.com: https://www.businesswire.com/news/home/20181206005187/en/
MEDIA CONTACTS:WilliamsKeith Isbell(918)
573-7308
Easton Energy LLCTyler
Whartontwharton@easton.energy
INVESTOR CONTACTS:WilliamsJohn Porter(918)
573-0797
WilliamsPaul Schroedter(918) 573-9673
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