Equitrans in early stages of discussing asset sale

The operator of natural gas pipelines across the USA, including the Mountain Valley Pipeline project, is working with an adviser as it weighs a range of strategic options, according to reports.

Equitrans would likely attract interest from industry peers should it opt to launch a sales process in early 2024.

Equitrans owns a 48.1% ownership interest in the Mountain Valley pipeline and will operate it once it is online – which is expected to be in the first quarter of 2024.

When the company started construction in February 2018, Equitrans estimated the 2.0 billion ft3/d project would cost about US$3.5 billion and enter service by late 2018. Now, the project stands to cost nearly US$7.2 billion, having faced numerous legal challenges and labour issues.

Bloomberg, citing Citi analyst Spiro Dounis, highlighted that with the pipeline close to being complete, exploring a potential sale would make sense.

Equitrans was spun out of the natural gas firm EQT Corp. in 2018, The pipeline operator has a market capitalisation of US$4 billion.

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Read the article online at: https://www.worldpipelines.com/business-news/04122023/equitrans-in-early-stages-of-discussing-asset-sale/