Westcoast Energy sells NGL unit
Westcoast Energy is selling its Canadian natural gas liquids business for $200 million to Plains Midstream Canada ULC.
The deal includes Westcoast’s Empress extraction and fractionation facility, a transmission pipeline, seven NGL terminals and two storage facilities in Western Canada.
Natural gas liquids products include propane, butane and ethane.
The deal was announced by Spectra Energy Corp., which acquired Westcoast Energy in 2002. Last year, Spectra recorded a US$333million impairment of goodwill assets associated with Westcoast’s B.C. Field Services business and its Empress NGL operations.
Plains Midstream Canada — an indirect subsidiary of Plains All American Pipeline LP — owns 28 natural gas liquids storage facilities, 19 rail terminals and six pipeline terminals plus joint ventures in a number of plants.