A fund managed by Basalt Infrastructure Partners II GP Limited is to acquire Third Coast Midstream LLC’s natural gas transmission business. The Natural Gas Transmission Business includes seven regulated natural gas lateral pipelines with total capacity of over 1,600 MDth per day, stretching approximately 550 miles. The lateral pipelines are connected to 8 major long-haul pipelines, ensuring reliable gas supply to customers across Louisiana, Alabama, Mississippi, Tennessee and Arkansas.
“This investment represents a rare opportunity to invest in a portfolio of demand-driven, regulated “last-mile” natural gas pipelines serving utilities and other key end-user customers in the Southeastern United States. The business is strategically positioned to capture continued industrial growth in the region” said David Greenblatt, Partner of Basalt Infrastructure Partners LLC, exclusive investment Advisor to the Basalt funds. “Cash flows from the business are anchored by long-term firm transportation contracts with a diverse customer base of utility, power and industrial customers.”
“We are proud of the accomplishments our team has executed over the last several years in building out this portfolio of high-quality gas transmission assets in the Southeast United States,” stated Matt Rowland, Third Coast’s President and Chief Executive Officer. “We are confident that Basalt brings the right combination of financial strength and strategic experience to continue safe, efficient and growing operations. The sale is a further step in Third Coast’s strategic repositioning to focus on its core Gulf of Mexico infrastructure platform.”
For more information visit www.basaltinfra.com
