TULSA, Okla. - Williams Cos. says it has closed on a joint-venture agreement with Atlas Pipeline Partners LP that will collect natural gas in the southwestern Pennsylvania portion of the Marcellus Shale rock formation.
The new company, named Laurel Mountain Midstream LLC, owns 1,800 miles of interstate natural gas gathering lines in the region, servicing about 6,900 wells.
Williams says it contributed $100 million and issued a $25.5 million note payable to Laurel Mountain in exchange for a 51 percent ownership interest in the joint venture.
Moon Township, Pa.-based Atlas Pipeline Partners will own 49 percent.
Williams will run the new company on a day-to-day basis.
Showing posts with label Laurel Mountain Midstream. Show all posts
Showing posts with label Laurel Mountain Midstream. Show all posts
Friday, June 5, 2009
Thursday, April 2, 2009
Williams in Marcellus Shale joint venture with Atlas Pipeline Partners
TULSA, Okla. - Williams announced on April 1 that it will enter the Marcellus Shale through a newly formed midstream joint venture with Atlas Pipeline Partners L.P.
The new venture will own Atlas Pipeline Partners' existing Appalachian Basin gathering system, which includes approximately 1,800 miles of intrastate natural gas gathering lines servicing 6,900 wells. The system has an average throughput currently in excess of 100 million cubic feet per day (MMcfd). The Marcellus production growth of Atlas Energy Resources, LLC, an Atlas Pipeline Partners affiliate, has driven a 30-percent increase in the gathering system's throughput in the past year.
Williams will contribute, subject to certain post-closing adjustments, $102 million and issue a $25.5 million note payable to a newly formed joint venture, Laurel Mountain Midstream LLC, in exchange for a 51-percent ownership interest in the joint venture. In addition to its ownership interest, Williams will operate the gathering system.
The new venture will own Atlas Pipeline Partners' existing Appalachian Basin gathering system, which includes approximately 1,800 miles of intrastate natural gas gathering lines servicing 6,900 wells. The system has an average throughput currently in excess of 100 million cubic feet per day (MMcfd). The Marcellus production growth of Atlas Energy Resources, LLC, an Atlas Pipeline Partners affiliate, has driven a 30-percent increase in the gathering system's throughput in the past year.
Williams will contribute, subject to certain post-closing adjustments, $102 million and issue a $25.5 million note payable to a newly formed joint venture, Laurel Mountain Midstream LLC, in exchange for a 51-percent ownership interest in the joint venture. In addition to its ownership interest, Williams will operate the gathering system.
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