U.S. Equitrans Midstream unit to buy two pipelines assets in $1.03 bln deal

EQM Midstream Partners LP, unit of U.S.-based natural gas company Equitrans Midstream Corp, has stamped a $1.03 billion deal to acquire two pipelines that connect the Marcellus and Utica shale basins.

EQM intends to take over a 60 percent stake in Eureka Midstream Holdings LLC and the whole of Hornet Midstream Holdings LLC, from a fund run by U.S.-based lender Morgan Stanley.

The company, which aims to pay $860 million in cash and assume $170 million of debt, expects the deal to be completed by mid-April.

EQM said that the assets will complement its basin-leading gathering and transmission system hence allowing it to continue being the low-cost provider for gas transportation and water handling as well.