CM - Tallgrass still thinking about $5B Blackstone buyout offer - October 2019Tallgrass Energy LP reported on Oct. 10 that it is still reviewing and evaluating an offer to be taken private by a fund managed by private equity giant Blackstone. The partnership’s independent conflicts committee is also negotiating with $40 billion Blackstone Infrastructure Partners on matters related to its offer to buy out 156 million Class A shares, comprising the remaining 55.3% of the Class A shares in Tallgrass that it did not already own, for $19.50 each. The $3.03 billion equity...
Oct 25, 2019
CM - Private equity giant Blackstone looks to take Tallgrass private - September 2019Blackstone Infrastructure Partners is bidding to take Tallgrass Energy private, offering $3.03 billion cash to acquire the remaining 156 million Class A shares it doesn’t own. The transaction is also the latest sign that private equity firms are stronger believers in midstream than other stock market investors. BIP will assume $1.92 billion in longterm debt and $73 million of working capital deficit, bringing the transaction to $5.025 billion. Excluding corporate simplifications,...
Sep 13, 2019
MI - Blackstone willing to take Tallgrass Energy private in $5B deal - September 2019Blackstone Infrastructure Partners is looking to take Tallgrass Energy private, offering $3.03 billion cash to acquire the remaining 156 million Class A shares it doesn’t own. Blackstone will assume $1.92 billion in long-term debt and $73 million of working capital deficit, bringing the transaction to $5.025 billion. Excluding corporate simplification transactions, the deal is the largest in the midstream space since Pembina Pipeline acquired Veresen for $7.1 billion in 2017, according...
Sep 06, 2019
MI - Whistler gas pipeline out of Permian receives green light - June 2019A JV led by MPLX and WhiteWater Midstream made a positive final investment
decision on the Whistler pipeline, which will carry up to 2 Bcf/d of Permian gas to the
Agua Dulce hub near Corpus Christi, Texas. The FID gives the Permian its first confirmed
gas long-haul to go into
service in 2021.
In addition to Marathon
Petroleum master limited partnership MPLX and First Infrastructure Capital-backed
WhiteWater, the Whistler JV includes private equity firm Stonepeak Infrastructure
Partners and West...
Jun 11, 2019
CM - Boardwalk Pipeline issues $500MM in senior notes - May 2019Boardwalk Pipeline Partners, LP announced that its Boardwalk Pipelines, LP
subsidiary offered $500 million aggregate principal amount of 4.8% senior unsecured
notes due 2029 at 99.913 for a yield to maturity of 4.811%. The sale, through a syndicate
led by Barclays, closed on May 3.
The partnership said it would use a
portion of the nearly $495.2 million from the
offering to retire all or a portion of the $350 million aggregate principal amount of its 5.75%
notes due 2019 at or near...
May 09, 2019
MI - KMI open to a third new Permian gas takeaway pipeline - April 2019Kinder Morgan Inc. is considering a third gas takeaway pipeline out of the Permian
Basin to go along with its Gulf Coast Express (GCX) and its Permian Highway (PHP),
CEO Steven Kean told investors in a Q1 earnings call. The abundance of associated
gas in the Permian resulted in the Waha gas price falling below zero for much
of March with prices expected
to be volatile until the GCX is
completed in October.
“If you look at the projections, they would show you that a GCX a year, almost,...
Apr 30, 2019
CM - Cheniere’s Midship venture gets $680MM in backing - March 2019Cheniere Energy, Inc. and EIG Global Energy Partners affiliates announced that
their joint venture Midship Pipeline Co. entered into senior secured credit facilities with
total commitments of up to about $680 million. The credit facilities consist of a $615
million construction loan facility and a $65 million revolving credit facility,
which the pipeline company will use to fund a portion of the working capital
needed to develop, construct and place into service by year-end the Midship...
Mar 07, 2019
MI - People & Companies - February 26, 2019Enbridge appointed Teresa
Madden and Susan Cunningham as
directors. Most recently, Madden was
working as EVP and CFO of Xcel Energy,
and Cunningham was working as EVP
of Noble Energy. Boardwalk Pipeline Partners
promoted Mercy Kamps to SVP of human
resources, communications and investor
relations. Mercy previously served as
Boardwalk’s VP, assistant general counsel,
and led the legal operations team. Chevron Corp. announced its
EVP of downstream and chemicals,
Pierre Breber,...
Feb 26, 2019
Equitrans buying EQGP Holdings units for $601MM from fundsSupporting a process to eventually simplify an ownership configuration among the
various midstream-focused entities that have emanated from EQT Corp., Equitrans
Midstream Corp. agreed to buy all of the units outstanding of EQGP Holdings, LP at $20
each in cash through private purchases. The deal represents a 17.5% premium over EQGP
Holdings’ price of $17.02 a unit in NYSE trading on Nov 29. The transactions are
expected to close Dec. 31.
Equitrans, which spun off
from EQT Corp. in...
Dec 06, 2018
Loews Corp. paying $3.4B to buy up and delist BoardwalkNew York conglomerate Loews Corp. rolled up midstream MLP affiliate Boardwalk Pipeline Partners (BWP) n a deal valued at $3.37 billion including net debt. The transaction is another repercussion of an unfavorable tax ruling for MLPs by the Federal Energy Regulatory Commission.Boardwalk GP, the general partner of BWP and an indirect wholly owned Loews subsidiary, bought the 49.8% of BWP’s units that it didn’t already own on July 18 for $12.06/unit or $1.5 billion cash. It then immediately...
Jul 18, 2018
Time running out on Permian capacity and MLP popularityWe hold these truths to be self-evident—that the Permian Basin is about to run out of crude pipeline space and that the master limited partnership has lost its appeal. Both stories have shaped the first half of the year.Pioneer Natural Resources CEO Scott Sheffield warned at the latest OPEC conference that crude pipelines out of the Permian will be full in three or four months. The coming constraint had been widely discussed but it was striking to hear it from one of the giants who...
Jul 03, 2018
Loews Corp. paying $1.5B to buy up and delist BoardwalkLoews Corporation will take over Boardwalk Pipeline Partners (BWP) by
exercising its right to purchase all of the issued and outstanding common units. The
$1.5 billion cash transaction is another repercussion of an unfavorable tax ruling
by the Federal Energy Regulatory Commission. Boardwalk GP, the general
partner of BWP and an indirect wholly owned subsidiary of Loews, will purchase
all outstanding units for $12.06 each, a price determined by the limited partnership
agreement and BWP’s...
Jul 03, 2018
Kinder Morgan to build another gas pipe out of PermianKinder Morgan (KMI) will construct and operate a second gas newbuild out of the Permian Basin in a 50:50 joint venture with EagleClaw Midstream Ventures, a portfolio company of private equity giant Blackstone. The 2.0 Bcf/d Permian Highway pipeline project (PHP) is backed by a commitment from Apache Corp. to ship up to 500 MMcf/d.The $2.0 billion project will feature 430 miles of 42-in. pipeline from the Waha, Texas, area to the U.S. Gulf Coast and Mexico...
Jul 03, 2018
Apparent cyberattack plagues 3 pipeline companiesEnergy Transfer partners, Boardwalk Pipeline Partners and ONEOK had
company data systems knocked out in early April, apparently by a cyberattack. The
electronic data interchange service was provided by third-party vendor, ETP said. No
culprit has been identified although US
officials warned in March that Russian
hackers were targeting infrastructure.
The EDI service allows energy companies to conduct computer-to-computer exchange
of business documents. While gas flows appear to be...
Apr 09, 2018
PetroLogistics II hopes to follow in I’s footstepsThe name PetroLogistics has returned, less than three years after its predecessor was sold to Flint Hills Resources for $2.1 billion. PetroLogistics II LLC is backed by a commitment of more than $500 million from private equity firms Quantum Energy Partners and Stonecourt Capital LP and PetroLogistics management.The PetroLogistics team is led by founders David Lumpkins as chairman and Nathan Ticatch as president as well as Randy Miller as VP of engineering and operations. PetroLogistics...
Jan 30, 2018