DCP Midstream Partners to Expand Presence in Michigan With $45.1 Million Acquisition of Gas Gathering and Treating Assets
November 18 2009 - 4:12PM
PR Newswire (US)
DENVER, Nov. 18 /PRNewswire-FirstCall/ -- DCP Midstream Partners,
LP (NYSE:DPM) (the "Partnership") today announced that it has
entered into an agreement with MichCon Pipeline Company, a
subsidiary of DTE Energy, to acquire certain natural gas gathering
and treating assets for $45.1 million in cash. The assets are
located in northern Michigan adjacent to the Partnership's existing
assets. These assets provide essential services for gas produced
from the Antrim Shale formation. (Logo:
http://www.newscom.com/cgi-bin/prnh/20080805/LATU124LOGO-b) "We
continue to be pleased with the performance of the Michigan assets
we acquired a year ago," said Mark Borer, president and CEO of the
Partnership. "This complementary acquisition provides increased
scale, operating synergies and consolidation opportunities.
Additionally, these assets contribute 100 percent fee-based
revenues from long-lived reserves." "This accretive acquisition
represents a key step in executing our growth strategy," added
Borer. "We continue to see signs of improvement in the business
environment, with cost of capital and acquisition multiples also
converging to broaden the opportunity set for growth." The
acquisition is expected to close in the fourth quarter of 2009,
subject to satisfaction of customary closing conditions. DCP
Midstream Partners, LP (NYSE:DPM) is a midstream master limited
partnership that gathers, processes, transports and markets natural
gas, transports and markets natural gas liquids, and is a leading
wholesale distributor of propane. DCP Midstream Partners, LP is
managed by its general partner, DCP Midstream GP, LLC, which is
wholly owned by DCP Midstream, LLC, a joint venture between Spectra
Energy and ConocoPhillips. This press release contains
forward-looking statements as defined under the federal securities
laws regarding DCP Midstream Partners, LP, including projections,
estimates, forecasts, plans and objectives. Although management
believes that expectations reflected in such forward-looking
statements are reasonable, no assurance can be given that such
expectations will prove to be correct. In addition, these
statements are subject to certain risks, uncertainties and other
assumptions that are difficult to predict and may be beyond our
control. If one or more of these risks or uncertainties
materialize, or if underlying assumptions prove incorrect, the
Partnership's actual results may vary materially from what
management anticipated, estimated, projected or expected. Investors
are encouraged to closely consider the disclosures and risk factors
contained in the Partnership's annual and quarterly reports filed
from time to time with the Securities and Exchange Commission. The
Partnership undertakes no obligation to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise. Information contained in
this press release is unaudited, and is subject to change.
http://www.newscom.com/cgi-bin/prnh/20080805/LATU124LOGO-b
http://photoarchive.ap.org/ DATASOURCE: DCP Midstream Partners, LP
CONTACT: Media and Investor Relations, Karen L. Quast of DCP
Midstream Partners, LP, +1-303-633-2913, 24-Hour, +1-303-809-9160
Web Site: http://www.dcppartners.com/
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