The headwinds facing natural gas prices have been known for months, but they came to a head this past week with the mild temperatures with the likelihood that storage levels will continue to build much later than normal.
The offer values Targa Resources Partners at $36.09 per share, and represents a premium of 18.4% to the stock's closing price on Nov. 2, according to Reuters' calculations.
The year 2015 may be tough, but for midstream companies this isn’t a slump. “This industry has never seen a challenge it couldn’t overcome,” said Barry Davis, EnLink Midstream CEO, at Hart Energy’s Midstream Texas conference in San Antonio.
The Y-grade pipeline connecting the Gregory processing facility to the Bonnie View and Robstown fractionators was also completed. All three processing facilities are now connected to Robstown and Bonnie View
In September, Spectra Energy and Phillips 66 executed an agreement to strengthen Denver-based DCP Midstream LLC through an injection of assets and equity.
Crestwood owns and operates midstream assets serving producers across the Marcellus, Bakken, Eagle Ford, Permian Basin, Powder River Basin Niobrara, Utica, Barnett, Fayetteville and Haynesville shale plays.
The UMTP project will transport NGL and condensate produced from the Utica and Marcellus basins to delivery points along the Texas Gulf Coast.
The Houston company expects this to increase its natural gas processing capacity to 400 MMcf/d in the region's Terryville Complex.
Additional volumes of ethane, propane, butane, C3+, natural gas and condensate from Marcellus and Utica processing facilities will be taken to Sunoco Logistics’ Marcus Hook industrial complex.
Phillips and Spectra will remain 50/50 joint venture owners of DCP Midstream, the largest natural gas processor and NGL producer in the U.S.
Marathon Petroleum Corp.'s 795-mile Centennial Pipeline could be converted to move NGL to Texas, and its flow could be reversed southward from Illinois within two years, Reuters reported.
Alliance declared force majeure on its 2,400-mile pipeline taking gas and NGL from western Canada and North Dakota to Chicago market after finding poisonous hydrogen sulfide, Reuters said.