DT Midstream, Inc. has closed on the acquisition of three FERC-regulated natural gas transmission pipelines from ONEOK, Inc. for a total cash consideration of $1.2 billion. This acquisition aligns with DT Midstream's pure play natural gas strategy and is expected to increase the revenue contribution from its pipeline segment. The acquired pipelines, including Guardian Pipeline, Midwestern Gas Transmission, and Viking Gas Transmission, have a total capacity of more than 3.7 billion cubic feet per day (bcf/d) and span approximately 1,300 miles across seven states in the Midwest market region.
DT Midstream's CEO, David Slater, expressed satisfaction with the acquisition, emphasizing the support from the team members associated with the assets, both in field operations and at DT Midstream's new Tulsa office.
The company, which is headquartered in Detroit, specializes in owning, operating, and developing natural gas interstate and intrastate pipelines, storage and gathering systems, compression, treatment, and surface facilities. DT Midstream transports clean natural gas for utilities, power plants, marketers, large industrial customers, and energy producers across the southern, northeastern, and midwestern United States and Canada.
It's worth noting that DT Midstream is transitioning towards net zero greenhouse gas emissions by 2050, with a specific goal of achieving a 30% reduction in carbon emissions by 2030. Following these announcements, the company's shares moved 0.0%, and are now trading at a price of $100.11. For more information, read the company's full 8-K submission here.
