Under the deal, Pioneer and Reliance will use the Eagle Ford Shale acreage as part of a 20-year agreement, which also includes a minimum volume requirement for the first seven years.
Enterprise general partner CEO Michael Creel said: "This ‘bolt on’ acquisition extends our integrated system deeper into the NGL and condensate rich areas of the Eagle Ford, which will provide us with the ability to offer services to additional producers and increase volumes on our system."
Scheduled to be close in the third quarter this year, the purchase price is planned to be paid by the in two installments.
Enterprise Products will pay the first installment of $1.15bn at closing and the remaining $1bn before the first year of the closing date.
The transaction is subject to customary regulatory approvals and closing conditions.
EFS Midstream system comprises approximately 460 miles of natural gas gathering pipelines, ten central gathering plants, 780 million cubic feet per day of natural gas treating capacity and 119,000 barrels per day of condensate stabilization capacity.
Reliance CEO Walter Van de Vijver said: "EFS has succeeded in its objective of building the gathering and midstream structure in a timely manner to support ramp-up of the Reliance-Pioneer Eagle Ford Upstream Joint Development operations."
Pioneer Natural Resources chairman and CEO Scott Sheffield said: "The sale of EFS Midstream will further improve our already strong balance sheet and allow us to strategically redeploy capital to our core, oil-rich Spraberry/Wolfcamp asset in the Permian Basin of West Texas, which we have successfully transformed from a vertical play into a world-class horizontal play."
The company expects proceeds of approximately $900m from the transaction. It will also receive its share in $100m from reduced transportation and processing fees associated with new downstream agreements.
