Enbridge Energy announces the acquisition of a $700 million gas pipeline:
Enbridge Energy Partners, L.P. today announced that its affiliate, Enbridge Pipelines (TX Gathering) LP, plans to acquire the entities that comprise the Elk City Gathering and Processing System from Atlas Pipeline Partners for $682 million. The acquisition is expected to close by late 3rd quarter or in 4th quarter 2010. “Consolidation of these assets with our Anadarko system will provide immediate benefits to natural gas producers in the area and the Partnership. The ECOP system has excess processing capacity available, and the Partnership has access to excess rich gas that can be used to fill this capacity,” said Terrance L. McGill. “Strategically, this acquisition further solidifies Enbridge’s ability to capitalize on growth in the Granite Wash and is consistent with the Partnership’s objective to increase distributable cash flow to unit holders. This acquisition, other development projects and the strong performance of our existing assets are all factors contributing to the Partnership’s recently announced distribution increase,” McGill added.