PTP is the developer of the proposed 463km KSL natural gas pipeline from Summit Lake to Kitimat, which will serve the Kitimat liquefied natural gas facility, in British Colombia, Canada, owned by Apache and EOG.
Following the completion of the transaction, Apache Canada’s ownership of the pipeline will increase from 25.5% to 51% and EOG Canada’s ownership will increase from 24.5% to 49%.
The transaction has two parts, with the first payment consisting of $30m that PNG will receive on closing and a second payment of $20m, which PNG will receive when the purchasers decide to proceed with construction of the Kitimat liquefied natural gas (LNG) facility.
The transaction, which is subject to standard industry conditions and consents, is slated to be completed by the end of February 2011.
