When sale closes, Chinook will have 24.5 sections and 35 sections of Montney lands at Gold Creek and Knopcik, respectively, and will retain ownership of two horizontal Montney Gold Creek wells.
ETE said it has filed a counterclaim to Williams' lawsuit. The lawsuits are the latest twist in what has been a testy transaction almost from the get-go, Reuters reported.
John C. Rice and George R. Ward have handled transactions including M&A, restructurings, bankruptcies, and public and private capital raisings for clients ranging from upstream to cleantech.
Suit filed by Williams to push ETE to complete acquisition might not succeed, and might not be in Williams’ best interest if it does.
TransCanada pulled and refiled its HSR application on May 6, setting new 30-day period for review by FTC. The transaction’s closing is still expected in the second half of 2016.
The company will also loop much of its Spraberry system mainline with a new 20-inch high-pressure pipeline. The entire project is expected to be completed early in 2017’s second quarter.
Williams said in a statement that Energy Transfer Equity has used "delay and obstruction" to try and wriggle out of its agreement but Energy Transfer responded on May 15 by saying the lawsuit was an attempt to gain leverage in any future deal talks.
Brookfield's purchase of pipeline unit Nova Transportadora do Sudeste SA, with nearly 1,560 miles (2,500 kilometers) of pipelines, could be the country's biggest corporate takeover so far this year, according to Thomson Reuters data.
Unless two sides can agree on restructuring, transaction likely will fail.
The Rockies Express Pipeline is one of the largest pipelines ever constructed in the U.S. The more than 1,700-mile pipeline stretches from northwestern Colorado and Wyoming to eastern Ohio.
Energy Transfer originally raised the tax issues last month. ETE's lawyers at Latham & Watkins have told the company that it may not be able to deliver a needed tax opinion declaring that the deal would be a tax-free exchange.
The transaction includes the Sweeny Fractionator One NGL fractionator in the Phillips 66 Sweeny Refinery complex, the Clemens Caverns storage facility and the Standish Pipeline.