An affiliate of Enterprise Products Partners LP, Houston, has agreed to acquire Navitas Midstream Partners LLC from an affiliate of Warburg Pincus LLC in a debt-free transaction for $3.25 billion in cash.
This acquisition provides Enterprise’s natural gas processing and NGL business with an entry point into the Midland basin of the Permian. The system is anchored by long-term contracts and acreage dedications with a group of over 40 independent and publicly owned producers and supported by fee-based contracts.
Navitas Midstream’s assets include about 1,750 miles of pipelines and more than 1 bcfd of cryogenic natural gas processing capacity with completion of the Leiker plant, which is expected in this year’s first quarter. Capacity will grow to more than 1.3 bcfd in first-half 2023. The deal includes up to 10,000 remaining drilling locations on dedicated acreage and no exposure to federal lands.
This deal is expected to close in this year’s first quarter subject to customary regulatory approvals.
