ArcLight takes majority control of NGPL amid rising energy demand

The fund managed by ArcLight Capital Partners has acquired 25% of Natural Gas Pipeline Company of America, bringing its total stake to 62.5% alongside Kinder Morgan.

Partagez:

ArcLight Capital Partners, an investment firm specialising in energy infrastructure, announced it has acquired an additional 25% stake in Natural Gas Pipeline Company of America (NGPL), one of the largest natural gas transportation networks in the United States. The transaction increases ArcLight’s total economic interest in NGPL to 62.5%, making it the principal shareholder ahead of Kinder Morgan, Inc., which retains a 37.5% stake and continues to operate the system.

A strategic network at the heart of growing demand

NGPL’s network spans approximately 9,100 miles across nine US states and includes compressor stations with an installed capacity of around 1 million horsepower, along with 288 billion cubic feet of storage. The system supplies key markets for electricity and heating and serves liquefied natural gas (LNG) infrastructure in Texas and Louisiana.

This infrastructure enables the delivery of natural gas from all major US production basins, bolstering supply security for industrial, residential and technology markets. NGPL is central to supply strategies for data centres, LNG exporters and large-scale technology companies known as “hyperscalers”, whose energy consumption continues to grow.

Strengthened positioning in the North American market

“The United States is seeing historic growth in electricity demand, driven in particular by electrification and artificial intelligence,” said Dan Revers, founder of ArcLight. He added that assets like NGPL will be essential in meeting increasing infrastructure demands for reliability and capacity.

Lucius Taylor, partner at ArcLight, stated that NGPL is a strategic asset “that could not be replicated today” due to its geographic reach and ability to support the growing needs of utilities and LNG exporters. The acquisition continues ArcLight’s strategy, active in the sector since 2001.

Investment history and operational capabilities

Since its inception, ArcLight has owned, controlled or operated more than 65 GW of power assets and around 47,000 miles of electricity and gas transmission infrastructure, with a combined enterprise value of $80bn. The firm states that its industry expertise enables it to provide tailored solutions for emerging market demands, particularly related to data centres and artificial intelligence.

The financial terms of the transaction were not disclosed. Barclays Capital Inc. acted as financial advisor, while Latham & Watkins LLP provided legal counsel to ArcLight.

  • Populaires ​
Tesla Signs $560 Million Contract for Electricity Storage in China
Europe Commits Major Investments to Electricity Grids and the Clean Industrial Deal
Chinese independent refiners poised to increase fuel oil imports
Global solar panel recycling market to reach $548mn by 2030
Iraq Suspends Oil Projects Amid Regional Conflict and Strained Logistics
Europe extends gas storage obligations until 2027
The European Union extends gas storage regulations by two years, requiring member states to maintain a minimum fill rate of 90% to ensure energy security and economic stability amid market uncertainties.
Chevron and Energy Transfer Expand Their LNG Agreement at Lake Charles
Energy Transfer strengthens its partnership with Chevron by increasing their liquefied natural gas supply agreement by 50% from the upcoming Lake Charles LNG export terminal, strategically aiming for long-term supply security.
Woodside completes sale of 40% stake in Louisiana LNG project to Stonepeak
Woodside finalises the divestment of a 40% stake in the Louisiana LNG project to Stonepeak, injecting $5.7 billion to accelerate developments and optimise financial returns ahead of first gas delivery scheduled in 2026.
Keranic takes over Royal Helium and fast-tracks Steveville plant restart
Keranic Industrial Gas seals a sixty-day exclusivity deal to buy Royal Helium’s key assets, raise CAD9.5mn ($7.0mn) and bring Alberta’s Steveville plant back online in under fifteen weeks.
Fusion Fuel: Al Shola Gas secures AED4.4 mn ($1.2 mn) in contracts
The Irish-Portuguese company Fusion Fuel strengthens its footprint in the United Arab Emirates as subsidiary Al Shola Gas adds AED4.4 mn ($1.2 mn) in new engineering contracts, consolidating an already robust 2025 order book.
Cheniere Energy Approves Expansion of Corpus Christi LNG Terminal for 2029
Cheniere Energy validates major investment to expand Corpus Christi terminal, adding two liquefaction units to increase its liquefied natural gas export capacity by 2029, responding to recent international agreements.
LNG industry could reduce emissions by 60%, according to IEA
A study by the International Energy Agency reveals that global emissions from liquefied natural gas could be significantly reduced using current technologies.
Europe accelerates gas storage filling despite declining reserves
Europe is injecting natural gas into underground storage facilities at a three-year high, even as reserves remain below historical averages, prompting maximized imports of liquefied natural gas (LNG).
Seoul freezes electricity rates amid LNG supply risk concerns
South Korea abandons plans to lower electricity rates this summer, fearing disruptions in liquefied natural gas supply due to escalating geopolitical tensions in the Middle East, despite recent declines in fuel import costs.
Russia ready to deliver liquefied natural gas to Mexico
Russia positions itself to supply liquefied natural gas to Mexico and considers expanded technological sharing in the energy sector, according to Russian Energy Minister Sergey Tsivilyov.
Israel resumes gas exports to Egypt and Jordan
Israel has partially resumed its natural gas exports to Egypt and Jordan following a week-long halt due to the closure of two major offshore gas fields, Leviathan and Karish.
Nepal Identifies Major Methane Reserve Estimated at 112 Billion m³
Nepal reveals a significant potential reserve of methane in the west of the country, following exploratory drilling conducted with technical support from China, opening new economic prospects.
Petronas and JOGMEC Sign Strategic Agreement around LNG Canada Project
Petronas formalizes a memorandum with JOGMEC to secure Japanese LNG deliveries, including a first cargo from LNG Canada scheduled for July at Toho Gas.
Serbia negotiates gas deal with Gazprom at competitive European price
Belgrade is currently finalising a new gas contract with Russia, promising Europe's lowest tariff, according to Srbijagas General Director Dusan Bajatovic, despite Europe's aim to eliminate Russian imports by 2027.
TotalEnergies and QatarEnergy secure strategic exploration licence in Algeria
TotalEnergies and QatarEnergy have won the Ahara exploration licence, marking a new stage in their partnership with SONATRACH on a vast area located between Berkine and Illizi.
TotalEnergies plans to restart its Mozambique gas project by summer 2025
After four years of interruption due to regional insecurity, TotalEnergies announces the upcoming resumption of its liquefied natural gas project in Mozambique, representing a $20bn investment.
TotalEnergies strengthens Malaysian foothold with new offshore blocks
The French group has acquired from PETRONAS stakes in several licences covering more than 100,000 km² off Malaysia and Indonesia, consolidating its Asian presence and its exposure to the liquefied natural gas market.
Egypt secures 290 LNG shipments to meet summer demand
In response to rising summer electricity consumption, Egypt signs import agreements covering 290 shipments of liquefied natural gas, involving major international firms, with financial terms adjusted to the country’s economic constraints.
Egypt: fertilizer companies halted after suspension of Israeli gas
Egyptian fertilizer producers suspended their activities due to reduced imports of Israeli gas, following recent production halts at Israel's Leviathan and Karish gas fields after Israeli strikes in Iran.
Emissions expected to surge in Texas with 130 gas plant projects
A report identifies 130 gas power plant projects in Texas that could raise emissions to 115 million tonnes per year, despite analysts forecasting limited short-term realisation.

LEGAL

FOSSILS

POLICY

RENEWABLE

PLUS

© XMARKET PUBLISHING

Welcome

Your subscription

Included in this subscription:

COMMUNICATE ON ENERGYNEWS