Gateway Energy Corporation has closed the acquisition of a natural gas pipeline from Commerce Pipeline, L.P. for an undisclosed purchase price.
The pipeline is located in Commerce, TX and delivers natural gas into an aluminum smelting plant owned by Hydro Aluminum Metal Products North America.
In connection with the acquisition, Gateway will acquire a long-term contract with Hydro Aluminum to provide transportation capacity at a fixed monthly charge. Gateway financed the acquisition through a combination of cash on hand and bank debt. It has now acquired six pipelines in the past 16 months.