BG sells stake in North Sea CATS pipeline for $954M

|About: BG Group Plc ADR (BRGYY)|By:, SA News Editor

BG Group (BRGYY, BRGXF) says it plans to sell its ~63% stake in the Central Area Transmission System, or CATS, gas pipeline in the U.K. North Sea, and associated infrastructure, to Antin Infrastructure Partners for up to £562M ($954M).

BG says the sale would result in a post-tax profit of $700M and will not impact its rights to use the 251-mile pipeline network.

The sale is part of BG's strategy to streamline its portfolio as its core business is hurt by falling output and restrictions on sales from Egypt, one of its key gas-producing operations.