June 2011 Vol. 238 No. 6

Projects

Energy Transfer Acquiring Southern Union Company

Dallas-based Energy Transfer Equity (which owns Energy Transfer Partners) announced June 16 that it will acquire Houston-based Southern Union Company.

The two companies have entered into a definitive merger agreement whereby ETE will acquire Southern Union for $7.9 billion, including approximately $3.7 billion of existing SUG debt.

The acquisition will create the largest consolidated natural gas pipeline company in U.S., in the form of a group of natural gas midstream companies valued at $40 billion.