Williams Cos., an Oklahoma-based pipeline operator, is in advanced discussions to acquire Momentum Midstream, a rival natural gas pipeline operator, for approximately $5.5 billion. The deal would be one of the largest in Williams' history, significantly expanding its footprint in the natural gas midstream sector.
The transaction involves Williams purchasing Momentum Midstream from private equity firm EnCap Flatrock Midstream. The agreement is reportedly in its final stages, with an announcement expected within about a week. However, no final decision has been made, and EnCap Flatrock Midstream could still choose to retain ownership of Momentum.
This acquisition would provide Williams with additional capacity to transport natural gas from the Haynesville shale region to U.S. Gulf Coast export terminals. Momentum Midstream operates roughly 4,000 miles of pipelines, serving over 140 customers, 10 liquefied natural gas facilities, and 26 power plants. The deal is seen as a strategic move to secure supplies for Williams' growing offerings to hyperscalers and data center clients, and it aligns with the increasing global demand for LNG.
