Enbridge Acquires Salt Creek Midstream for $600 Million

M&A · Partnership

โดย Insider Monkey·

Summary · why it matters

Enbridge Inc. announced on August 26 that it agreed to acquire Salt Creek Midstream's crude oil gathering business for $600 million in cash, expanding its presence in the Permian Basin. The deal includes full ownership of the Orla and Wink North systems and a 50% interest in the Delaware Crossing system, which together serve more than 20 producers with a combined throughput capacity of 420,000 barrels per day and storage capacity of 350,000 barrels. The acquisition will strengthen Enbridge's crude oil value chain by linking Permian production to its Ingleside Energy Center, the largest crude export terminal in North America, and is expected to close later this year, immediately accretive to cash flow and earnings per share. However, the company's financial guidance for 2026 remains unchanged. The move follows Enbridge's postponement of the second phase of its Mainline pipeline network, reflecting a disciplined capital strategy focused on smaller projects with existing demand. Risks include stiff competition in the mature Permian Basin and potential declines in crude prices that could reduce output and returns.

Enbridge Inc ▲