BG Group has agreed to sell its equity interest in the Central Area Transmission System gas pipeline in the UK North Sea and associated infrastructure to Antin Infrastructure Partners for total proceeds up to £562 million (US$954 million). Under the agreement, BG will sell its 62.78% interest in CATS for £523 million, and a deferred amount of £39 million.
CATS comprises a fixed-riser platform linked to the Everest oil and gas platform, 1.7 Bcf/d capacity subsea pipeline and a two-train onshore gas processing terminal at Teesside which has capacity of 1.2 Bcf/d.
The sale of the CATS interest is in line with BG's strategy to actively manage its asset portfolio and deliver value to shareholders.
In Oct-2013, Azure Resources announced the acquisition of TGGT Midstream, a 50-50 JV between BG Group and Exco Resources.
Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.