ONEOK Partners completes acquisition of NGL assets
ONEOK Partners completed the acquisition of natural gas liquids (NGL) pipelines and related assets from affiliates of Chevron Corporation for approximately USD 800M.
ONEOK Partners now owns an 80% interest in the West Texas LPG Pipeline Partnership (West Texas LPG) and 100% interest in the Mesquite Pipeline (Mesquite), which collectively consist of approximately 2,600mi of NGL-gathering pipelines extending from the Permian Basin in southeastern New Mexico to East Texas and Mont Belvieu, Texas. ONEOK Partners is the operator of both pipelines. The remaining 20% of West Texas LPG is owned by Martin Midstream Partners.
"The West Texas LPG and Mesquite NGL pipelines will integrate into our existing natural gas liquids segment's portfolio of assets and provide fee-based earnings to the partnership", said Terry K. Spencer, president and CEO of ONEOK Partners. "With the closing of this transaction, we welcome the approximately 75 employees currently operating these assets to the ONEOK Partners team. We look forward to working with all of them and assisting them with their transition to ONEOK Partners."