Plains Midstream Canada ULC has entered into a definitive agreement to pay $200 million (Can.) in cash to acquire the ownership interests held by Westcoast Energy Inc. in Spectra Energy Corp.’s Canadian natural gas liquids business. Westcoast Energy is an indirect subsidiary of Spectra Energy.
The transaction includes Westcoast Energy’s Canadian NGL integrated system of assets consisting of the Empress NGL extraction and fractionation facility, the PTC transmission pipeline, seven NGL terminals, and two NGL storage facilities in Western Canada.
Greg Ebel, Spectra Energy president and chief executive officer, noted, “This divestiture reinforces Spectra Energy’s intent to focus on investing in stable, fee-based natural gas infrastructure in Western Canada.
Subject to customary regulatory approvals and other closing conditions, the transaction is expected to close during this year’s first half.