MPLX to Acquire Full Ownership of 425-Mile BANGL Pipeline in $715 Million Deal
(P&GJ) — MPLX LP announced today that it has signed a definitive agreement to acquire the remaining 55% interest in BANGL, LLC from affiliates of WhiteWater and Diamondback Energy for $715 million.
The deal strengthens MPLX’s presence in the Permian Basin and enhances its ability to transport natural gas liquids (NGLs) to key Gulf Coast markets.
The 425-mile BANGL pipeline currently transports 250,000 barrels per day (bpd) of NGLs from the Permian to fractionation markets along the U.S. Gulf Coast. Earlier this month, an expansion project was approved to increase the pipeline’s capacity to 300,000 bpd, with completion expected in the second half of 2025. The pipeline will also support MPLX’s planned Gulf Coast fractionation complex, expected to come online in 2028.
“With full ownership of BANGL and its expansion opportunities, our growth platform is further improved for the long term as we connect growing NGL production from the Permian to our recently announced Gulf Coast fractionation complex,” said Maryann Mannen, MPLX president and chief executive officer.
The transaction is immediately accretive and expected to generate mid-teen returns for MPLX. Additionally, the company may make earnout payments upon achievement of specific financial performance metrics.
The deal is expected to close by July 2025, subject to customary conditions, including clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. Following the closing, MPLX will fully consolidate the BANGL pipeline into its financial results.
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