Enable Midstream Partners has signed an agreement to acquire US-based Align Midstream, which is backed by private equity firm Tailwater Capital, for around $300m.
Align services producers in East Texas and North Louisiana through a 100 million cubic feet per day cryogenic natural gas processing plant in Panola, Texas.
In addition, it has around 190 miles of natural gas gathering pipelines across Rusk, Panola and Shelby counties in Texas and DeSoto Parish in Louisiana.
Align Midstream CEO Fritz Brinkman said: "Over the past three years, we have created significant value for our stakeholders through acquiring and connecting under-utilised gathering and processing assets to create an extensive system. This platform now serves some of the best producers in the basin."
The transaction is conditional on regulatory approval and closing conditions.
Enable owns and operates natural gas and crude oil infrastructure assets comprising around 12,900 miles of gathering pipelines and 14 processing plants with about 2.5 billion cubic feet a day (bcfd) of processing capacity
Furthermore, the company has nearly 7,800 miles of interstate pipelines, about 2,200 miles of intrastate pipelines and eight storage facilities with a storage capacity of 85 billion cubic feet.
Tailwater Capital managing partner Jason Downie said: "The Align team has built a best-in-class asset centered on customer service that will provide meaningful value to Enable's midstream strategy."
Tailwater is focused on investing in midstream and upstream oil and gas companies.