Enbridge to spend $1.5B US for minority stake in Bakken pipeline system
Ohio-based Marathon Petroleum also kicking in $500 million US for 9.2% indirect stake in system
Enbridge Inc. and partner companies have struck a $2-billion US deal to buy about one-third ownership in a pipeline system that will carry crude oil from North Dakota to the U.S. Midwest and the U.S. Gulf Coast.
Calgary-based Enbridge will provide $1.5 billion US to its affiliate Enbridge Energy Partners, which will acquire a 27.6 per cent indirect interest in the Bakken pipeline system
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Ohio-based Marathon Petroleum will pay a further $500 million US for a 9.2 per cent indirect stake in the system.
The Bakken system is expected to be deliver more than 470,000 barrels per day of crude. It will travel from the Bakken production areas in North Dakota to a point in Illinois southwest of Chicago and to Texas on the U.S. Gulf Coast.
The sellers are an affiliate of Energy Transfer Partners and Sunoco Logistics Partners LP.
Upon closing, an ETP-Sunoco joint venture will own a combined 38.5 per cent of the system, affiliates of Phillips 66 will own 25 per cent and an Enbridge-Marathon joint venture will own 36.75 per cent.