Kinder Morgan Inc, Houston TX, is acquiring Terasen Inc, Vancouver, British Columbia, Canada, for $5.6 billion.
The purchase includes 150 terminals, 40,000 miles of natural gas and petroleum transportation pipelines, and more than 1.1 million natural gas distribution customers.
The combined entity, with 9,000 employees, will include liquids storage capacity of approximately 72 million barrels for refined petroleum products, crude oil, and chemicals; and marketing and transportation of carbon dioxide for enhanced oil recovery projects in the United States.
Once the transaction is completed, corporate headquarters will be in Houston.
Terasen's natural gas distribution operations, along with its water and utility services business, will remain headquartered in Greater Vancouver and its pipeline operations office will remain based in Calgary, Alberta, Canada.
Terasen Gas, Terasen's natural gas distribution company, will continue to operate under the Terasen name.