The I Squared Infrastructure Investment Fund, the MPLX LP Gas Transport Company and the Pipelines Enbridge INC operator, announced on Tuesday to have entered into an agreement to acquire up to 85 % participation in the Matterhorn Express gas pipeline.
According to a press release from companies, the Whitewater infrastructure company, of which I Squared is a partner, will hold up to 65 % of the pipeline. Enbridge and MPLX Canadians will each have 10 % of the Matterhorn Express after the transaction.
These participations will be acquired from the private investment fund Ridgemont Equity Partners and Devon Energy Corp, said the press release.
Reuters reported earlier this week that I Squared Capital, based in Miami, was in discussion to take a majority participation in the natural gas pipeline with Whitewater Midstream. According to Bloomberg, the operation could enhance the Matterhorn Express at more than $ 5 billion, including debt.
-According to the press release, Whitewater’s participation in the pipeline will be jointly supported by the FIC investment fund and I Squared. Whitewater will continue to operate the Matterhorn Express Pipeline.
Earlier Tuesday, MPLX announced the acquisition of an additional 5 % participation in the joint venture holding the Matterhorn Express pipeline, for an amount of $ 151 million.
The matterhorn pipeline carries natural gas from the Permian basin, located in western Texas and New Mexico, to the surroundings of Houston. 580 miles long (approximately 930 km), it was designed to route up to 2.5 billion cubic feet of gas per day, according to its website.
