American Midstream acquires nat gas gathering system, to offer 3.4M units

|About: American Midstream Partners... (AMID)|By:, SA News Editor

American Midstream Partners (AMID) agrees to acquire a ~120-mile natural gas gathering and redelivery system in the Eagle Ford shale from a subsidiary of Penn Virginia (PVA) for ~$100M.

Upon closing the acquisition, AMID also will enter into a long-term, fee-based gathering agreement where PVA will dedicate for 25 years all current and future natural gas production from the areas served by the system.

To help pay for the deal, AMID announces a public offering of 3.4M of its common units.