WBI Energy Midstream, an indirect subsidiary of MDU Resources Group Inc. (NYSE: MDU), said Nov. 21 that it entered a purchase and sale agreement to sell its 50% nonoperating ownership interest in the Pronghorn natural gas processing plant near Belfield, N.D.
WBI Energy Midstream co-owns the plant and 137 miles of natural gas-gathering pipeline and 143 miles of oil-gathering pipeline with Whiting Oil and Gas Corp.
Tesoro Logistics Rockies LLC will purchase the plant and associated gathering lines for $200 million.
The transaction is expected to close in the first quarter of 2017, pending Federal Trade Commission approval and satisfaction or waiver of customary closing conditions.
WBI Energy Midstream acquired its interest in the Pronghorn facilities in May 2012 for $66 million. The company’s share of the sale price would be about $100 million.
Recommended Reading
Analyst: Chevron Duvernay Shale Assets May Sell in $900MM Range
2024-01-29 - E&Ps are turning north toward Canadian shale plays as Lower 48 M&A opportunities shrink, and Chevron aims to monetize its footprint in Alberta’s Duvernay play.
Chevron's Duvernay Sale Seen Attracting Mid-sized Canadian Shale Operators
2024-01-25 - As Chevron Corp. markets its Duvernay shale assets, the U.S. oil major is most likely to find a buyer among a handful of mid-sized Canadian firms looking to capitalize on the region.
Production from Canada’s Montney, Duvernay Gains Momentum
2024-01-05 - The dust has settled on acquisitions, and the leading players have publicized five-year plans that demonstrate a commitment to increasing production from Canada’s premier shale plays.
CEO Darren Woods: What’s Driving Permian M&A for Exxon, Other E&Ps
2024-03-18 - Since acquiring XTO for $36 billion in 2010, Exxon Mobil has gotten better at drilling unconventional shale plays. But it needed Pioneer’s high-quality acreage to keep running in the Permian Basin, CEO Darren Woods said at CERAWeek by S&P Global.
Uinta Basin's XCL Seeks FTC OK to Buy Altamont Energy
2024-03-07 - XCL Resources is seeking approval from the Federal Trade Commission to acquire fellow Utah producer Altamont Energy LLC.