TULSA, Okla. (AP) — Williams Cos. said Tuesday it will create one of the largest natural gas partnerships in the nation by combining its pipeline and processing units.
The deal provides Williams with more money to explore for natural gas. Many energy companies are manuevering to get a bigger portion of the huge natural gas reserves in the U.S. that have been discovered due to advances in drilling technology.
The deal is worth about $10 billion plus $2 billion in debt. Williams, based in Tulsa, Okla., will get about $3.5 billion in cash from Williams Partners, its natural gas processing company. It will also receive 203 million units of the partnership and its stake from 24 percent to 80 percent.
The restucturing will also allow the company to borrow money more easily.
Williams is one of the biggest natural gas operations in the U.S., producing enough gas for more than 4 million homes per day and transporting about 12 percent of the nation's daily supply of natural gas. One its most important assets is the Texas Transcontinental Gas pipeline, which carries gas from the Gulf Coast to New Jersey and New York City as well as the Northwest.
Shares of Williams rose $1.73, or 8.1 percent, to close at $23.10. Earlier, shares reached a 52-week high of $23.76. Williams Partners shares shot up $5.60, or 18.2 percent, to $36.39, and hit a 52-week high of $36.40. Williams Pipeline Partners shares gained $3.84, or 16.5 percent, at $27.19. The shares hit $27.25 during the session, their highest price over the past year.
http://www.latimes.com/business/nationworld/wire/sns-ap-us-williams-restructuring,0,5234240.story
nice. Thanks for sharing.
ReplyDeleteregards
photogrammetry companies
Williams is one of the biggest natural gas operations in the U.S., producing enough gas for more than 4 million homes per day and transporting about 12 percent of the nation's daily supply of natural gas.This is great!
ReplyDelete