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Enbridge to Acquire Salt Creek Crude Gathering Business in $600 Million Deal

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Enbridge (ENB) said on Wednesday it had agreed to acquire Salt Creek Midstream's crude oil gathering business for $600 million in cash, expanding the pipeline operator's footprint in the prolific Permian Basin.

The deal includes 100% of Salt Creek's Orla and Wink North gathering systems, as well as a 50% stake in the Delaware Crossing system.

Enbridge said the assets comprise about 500 miles of crude-gathering infrastructure in the Delaware Basin and serve over 20 producers, with about 320,000 net dedicated acres under long-term commercial agreements.

The systems have a combined gathering capacity of 420,000 barrels per day and storage capacity of 350,000 barrels, the energy firm said in a statement. The system connects to several long-haul Permian crude pipelines, including Enbridge's majority-owned Gray Oak Pipeline.

Enbridge said the acquisition will strengthen the link between Permian oil production and the company's Ingleside Energy Center on the Texas Gulf Coast, which it describes as North America's largest crude export terminal.

"The acquisition will extend Enbridge's presence deeper into the Permian Basin through the addition of a highly connected crude gathering platform," said Colin Gruending, executive vice president and president of Enbridge Liquids Pipelines.

The transaction is expected to be immediately accretive to Enbridge's distributable cash flow per share and earnings per share, while the company maintains its 2026 financial guidance.

Enbridge expects the deal to close later this year, subject to customary conditions.

Price: $50.20, Change: $+0.46, Percent Change: +0.92%

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