Williams sells Texas pipeline to Easton Energy

Published on December 07, 2018 by Dave Kovaleski

© Shutterstock

Williams announced Thursday the sale of the 31-mile Texas Belle Pipeline in the Gulf Coast area to Easton Energy for $177 million.

The pipeline transports natural gas liquids from Mont Belvieu to customers along the Houston Ship Channel. The Purity Pipeline System, certain assets in the Live Oak Pipeline System and additional idle pipelines located along the Gulf Coast are also included in the sale, which closed on Nov. 30.

Williams will use the proceeds from this sale to fund other growth and investment opportunities.

“We continue to assess and execute on opportunities to optimize our portfolio,” Williams Senior Vice President for Corporate Strategic Development Chad Zamarin said. “We’re pleased to be able to leverage these assets, which were not core to our business strategy, into a source for growth capital and a driver for improved credit metrics.”

Williams, a Tulsa-based pipeline company, still owns 506 miles of pipelines. Credit Suisse Securities served as the lead financial adviser to Williams for this transaction.

Easton Energy is a Houston based pipeline company with infrastructure in the Gulf Coast area. Easton’s assets include liquid hydrocarbon salt cavern storage facilities in Markham, Texas, and roughly 416 miles of pipelines that connect key product markets along the Texas and Louisiana Gulf Coast.