Guardian, Midwestern and Viking Gas
Transmission Pipelines
Sold to DT Midstream for
$1.2 Billion
TULSA,
Okla., Dec. 31, 2024 /PRNewswire/ -- ONEOK, Inc.
(NYSE: OKE) today announced that it has closed the sale of its
three wholly owned interstate natural gas pipeline systems to DT
Midstream, Inc. (NYSE: DTM), effective as of 11:59 p.m. Central on Dec.
31, 2024, for a total cash consideration of $1.2 billion, subject to customary
adjustments.
"The closing of this transaction represents another milestone in
the strategic optimization of our integrated asset portfolio and
advances our capital allocation priorities," said Pierce H. Norton II, ONEOK president and chief
executive officer. "As the new owner of these pipelines, DT
Midstream brings a shared commitment to safety, reliability and
excellence that will serve all stakeholders well.
"We appreciate the dedication of our employees transitioning to
DT Midstream, where they will play a vital role in establishing the
company's new Tulsa office and
continue to be instrumental in the success of these essential
natural gas systems moving forward," added Norton.
The three interstate natural gas pipeline systems included in
the sale are Guardian Pipeline, Midwestern Gas Transmission and
Viking Gas Transmission.
The net proceeds from the sale are expected to enhance ONEOK's
financial flexibility as it progresses toward its previously
announced leverage target of 3.5 times during 2026.
At ONEOK (NYSE: OKE), we deliver energy products and services
vital to an advancing world. We are a leading midstream operator
that provides gathering, processing, fractionation, transportation
and storage services. Through our more than 50,000-mile pipeline
network, we transport the natural gas, natural gas liquids (NGLs),
refined products and crude oil that help meet domestic and
international energy demand, contribute to energy security and
provide safe, reliable and responsible energy solutions needed
today and into the future. As one of the largest diversified energy
infrastructure companies in North
America, ONEOK is delivering energy that makes a difference
in the lives of people in the U.S. and around the world.
ONEOK is an S&P 500 company headquartered in Tulsa, Oklahoma.
For information about ONEOK, visit the website: www.oneok.com.
For the latest news about ONEOK, find us on LinkedIn, Facebook,
X and Instagram.
Cautionary Statement Regarding Forward-Looking
Statements:
This communication contains "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. All statements, other than statements of historical fact,
included in this communication that address activities, events or
developments that ONEOK expects, believes or anticipates will or
may occur in the future are forward-looking statements.
Forward-looking statements can be identified by the use of
forward-looking or conditional words such as "estimate," "project,"
"predict," "believe," "expect," "anticipate," "potential,"
"opportunity," "create," "intend," "could," "would," "may," "plan,"
"will," "guidance," "look," "goal," "target," "future," "build,"
"focus," "continue," "strive," "allow" or the negative of such
terms or other variations thereof and words and terms of similar
substance used in connection with any discussion of future plans,
actions, or events. However, the absence of these words does not
mean that the statements are not forward-looking. These
forward-looking statements include, but are not limited to,
statements regarding ONEOK's ability to achieve the intended
operational, financial and strategic benefits from the consummation
of the transaction with DT Midstream, Inc. (the "Transaction"),
including with respect to deleveraging. There are a number of risks
and uncertainties that could cause actual results to differ
materially from the forward-looking statements included in this
communication. Such risks include, but are not limited to, our
ability to achieve the benefits expected from, and other risks
associated with, the consummation of the Transaction; the risk of
potential adverse reactions or changes to business or employee
relationships, including those resulting from the consummation of
the Transaction; the risk that the consummation of the Transaction
disrupts current plans and operations of ONEOK; changes in domestic
and foreign business, market, financial, political and legal
conditions; risks related to the impact of any economic downturn
and any substantial decline in commodity prices; the risk of
changes in governmental regulations or enforcement practices,
especially with respect to environmental, health and safety
matters; and other important factors that could cause actual
results to differ materially from those projected. In addition,
other risks and uncertainties not presently known to us or that we
currently believe to be immaterial could affect the accuracy of any
forward-looking statements. All such risks are difficult to predict
and are beyond ONEOK's control, including those detailed in ONEOK's
Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and
Current Reports on Form 8-K that are available on ONEOK's website
at www.oneok.com and on the website of the Securities and Exchange
Commission at www.sec.gov. All forward-looking statements are based
on assumptions that ONEOK believes to be reasonable but that may
not prove to be accurate. Any forward-looking statement speaks only
as of the date on which such statement is made, and ONEOK does not
assume or undertake any obligation to correct or update any
forward-looking statement, whether as a result of new information,
future events or otherwise, except as required by applicable law.
Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date
hereof.
Analyst Contact:
Megan Patterson
918-561-5325
Media Contact:
Alicia Buffer
918-861-3749
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SOURCE Oneok, Inc.
