ONEOK Agrees to Sell Interstate Gas Pipelines to DT Midstream for $1.2 Billion
(P&GJ) — ONEOK Inc. has signed an agreement to sell its three wholly owned interstate natural gas pipeline systems to DT Midstream Inc. for $1.2 billion in cash. The deal, expected to close in the fourth quarter of 2024, is subject to regulatory approvals and standard closing conditions.
The pipelines include Guardian Pipeline, Midwestern Gas Transmission, and Viking Gas Transmission. These systems serve key regions, including Illinois, Wisconsin, Tennessee, and Canada, with interconnections supporting natural gas distribution and power generation.
"This transaction enhances our capital allocation priorities and strengthens our financial position," said ONEOK CEO Pierce Norton. He emphasized the alignment between DT Midstream's operational culture and ONEOK's commitment to safety and reliability.
DT Midstream will establish a new office in Tulsa, Oklahoma, absorbing employees currently operating the pipeline systems. The sale proceeds will help ONEOK reduce its debt and reach a targeted leverage ratio of 3.5 by 2026.
ONEOK, headquartered in Tulsa, operates over 50,000 miles of pipeline infrastructure across North America, transporting natural gas, natural gas liquids, and crude oil.
Related News
Related News
- Trump Aims to Revive 1,200-Mile Keystone XL Pipeline Despite Major Challenges
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
- ConocoPhillips Eyes Sale of $1 Billion Permian Assets Amid Marathon Acquisition
- ONEOK Agrees to Sell Interstate Gas Pipelines to DT Midstream for $1.2 Billion
- Energy Transfer Reaches FID on $2.7 Billion, 2.2 Bcf/d Permian Pipeline
- U.S. LNG Export Growth Faces Uncertainty as Trump’s Tariff Proposal Looms, Analysts Say
- Tullow Oil on Track to Deliver $600 Million Free Cash Flow Over Next 2 Years
- Energy Transfer Reaches FID on $2.7 Billion, 2.2 Bcf/d Permian Pipeline
- GOP Lawmakers Slam New York for Blocking $500 Million Pipeline Project
- Texas Oil Company Challenges $250 Million Insurance Collateral Demand for Pipeline, Offshore Operations
Comments