High Point Gas Transmission Announces Agreement to Acquire Southern Natural Pipeline Assets
Sep 16, 2011, 09:03 ET
HOUSTON, Sept. 16, 2011 /PRNewswire/ -- High Point Gas Transmission, LLC ("HPGT"), a partnership between an affiliate of ArcLight Capital Partners, LLC ("ArcLight") and High Point Energy, LLC ("HPE"), announced today that it has entered into a purchase and sale agreement with Southern Natural Gas Company, L.L.C. ("SNG") to acquire certain natural gas pipeline assets located in SNG's supply area south of the Toca compressor station on its east leg. The proposed sale encompasses approximately 621 miles of onshore and offshore pipeline ranging from 4-inches to 26-inches in water depths of up to 1,000 feet, including four platforms, approximately 68 active receipt points and 25 active delivery points, and certain related pig launching and receiving equipment, machinery, electronic flow measurement and communications equipment, rights of way, easements, permits and line pack. The sale is subject to FERC approval and certain other customary closing conditions, and is expected to close in 2012.
ArcLight and HPE have agreed to contribute certain other related pipeline assets to HPGT and intend to grow the business by (i) partnering with local producers to develop and maintain the infrastructure and producer services needed to grow Gulf Coast oil and gas production and (ii) completing targeted acquisitions and capital projects.
ArcLight is one of the world's leading energy investment firms having invested over $8.5 billion of equity since its inception a decade ago. ArcLight has successfully sourced, managed and realized investments through multiple energy industry cycles. The Firm's investment team has extensive energy expertise, investing experience, industry relationships, and specialized asset level value creation capabilities. ArcLight is headquartered in Boston, Massachusetts with offices in New York, Barcelona and Luxembourg.
More information about ArcLight can be found at http://www.arclightcapital.com.
HPE is a midstream energy company formed in June 2009 and headquartered in Houston, Texas. HPE owns High Point Gas Gathering LLC, which operates natural gas gathering and transmission pipelines in southern Louisiana and Dry Trails Midstream Energy LLC, a FERC regulated natural gas liquids transmission pipeline located in the Oklahoma panhandle. HPE's management team has extensive operations and commercial experience in both regulated and non-regulated segments of the midstream energy sector.
More information about HPE can be found at http://www.highpointenergy.net.
SOURCE High Point Gas Transmission, LLC
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