MarEn Bakken Company has signed an agreement with Energy Transfer Partners and Sunoco Logistics Partners to acquire 36.75% interest in the Bakken Pipeline Project in the US for $2bn.

MarEn Bakken is a joint venture between Enbridge Energy Partners with 75% stake and Marathon Petroleum with 25% interest.

The Bakken Pipeline Project includes development of the Dakota Access pipeline and the Energy Transfer crude oil pipeline projects.

As part of the deal, Enbridge subsidiary Enbridge Energy Partners will acquire 27.6% stake for $1.5bn in the pipeline system. Marathon is required to pay $500m for its smaller share to purchase 9.2% interest.

Bakken Holdings Company, a joint venture between Energy Transfer Partners and Sunoco Logistics Partners, owns 75% stake in the Bakken Pipeline Project while the remaining stake is held by wholly-owned subsidiaries of Phillips 66.

Scheduled to enter service by the end of 2016, the Bakken Pipeline system is designed to deliver in excess of 470,000 barrels per day of crude oil from the Bakken/Three Forks production area in North Dakota to the Midwest through Patoka, Illinois, and to the Gulf Coast.

Upon completion of the deal, MarEn Bakken will have 36.75% stake in the project while Bakken Holdings and Phillips 66 will hold 38.25% and 25% stakes respectively.

Enbridge Energy Partners president Mark Maki said: "This acquisition is an attractive opportunity to participate in a pipeline system that will transport crude oil from the prolific Bakken formation in North Dakota to markets in eastern PADD II and the US Gulf Coast (USGC) providing another important link in our market access strategy that is driven by improving netbacks and access to the best markets for our customers.”

Energy Transfer Partners will be responsible for construction of the pipeline project while Sunoco Logistics Partners will be the operator.

Proceeds from the sale will be used by Energy Transfer and Sunoco Logistics to reduce debt and fund growth projects.

Separately, Energy Transfer Partners, Sunoco Logistics Partners and their partner Phillips 66 announced the completion of $2.5bn of project-level financing for the project.

Image: Energy Transfer and Sunoco Logistics intend to fund growth projects. Photo: courtesy of supakitmod/