DCP Midstream Partners has completed the $150m acquisition of a 33% ownership interest in the DCP Southeast Texas joint venture (JV) from the owner of its general partner, DCP Midstream.

The transaction was financed with borrowings under the partnership’s revolving credit facility.

The DCP Southeast Texas JV, a fully integrated midstream business, is executing on organic expansion projects to increase processing capacity by 50mmcf per day in 2011 and storage capacity by 6bcf by 2013.

Assets in the joint venture include: 675 miles of natural gas pipelines, three natural gas processing plants totaling 350mmcf per day of processing capacity, and natural gas storage assets with 9bcf of existing storage capacity.

DCP Midstream Partners gathers, treats, processes, transports and markets natural gas; transports and markets natural gas liquids; and is a wholesale distributor of propane.