ONEOK to Sell Three Wholly Owned Interstate Natural Gas Pipelines to DT Midstream for $1.2 Billion

WASHINGTON (dpa-AFX) – ONEOK Inc. (OKE) regrets agreeing to sell three wholly owned interstate natural gas pipeline systems to DT Midstream Inc. (DTM) for a total of $1.2 billion in cash, subject to customary adjustments.

The transaction is expected to be completed in the fourth quarter of 2024.

Three interstate pipeline systems include Guardian Pipeline, LLC, which connects to various pipelines in Central Chicago near Joliet, Illinois, and to local natural gas distribution and power generation companies in Wisconsin; Midwestern, a bidirectional system with a major pipeline interconnector near Portland, Tennessee, and multiple interstate pipelines with access to both the Utica Shale and Marcellus Shale, and multiple interstate pipelines at the Chicago Center near Joliet, Illinois Gas Transmission; and Viking Gas Transmission, a bidirectional system connected by a major pipeline system across the U.S. border near Emerson, Canada, and Marshfield, Wisconsin.

ONEOK expects the net proceeds from the sale to increase its financial flexibility and leverage its deleveraging trend towards a 3.5x target in 2026.

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