By Dave Sebastian
Kinder Morgan Inc. said it has agreed to buy renewable natural gas developer Kinetrex Energy from an affiliate of Parallel49 Equity for $310 million.
The deal includes two small-scale, domestic liquefied natural gas production and fueling facilities, as well as a 50% interest in a landfill renewable natural gas facility, Kinder Morgan said Friday. The transaction also includes three additional renewable natural gas facilities with signed commercial arrangements, it said.
Kinder Morgan said it expects the deal to add to its shareholders as the three renewable natural gas facilities become operational in the next 18 months.
Kinder Morgan said key members of the Kinetrex management team will be joining the company to pursue new projects. Kinetrex President and Chief Executive Aaron Johnson will serve as president of renewable natural gas at Kinder Morgan and report to Kinder Morgan Energy Transition Ventures President Jesse Arenivas, Kinder Morgan said.
The companies expect the deal to close in the third quarter.
Write to Dave Sebastian at firstname.lastname@example.org
(END) Dow Jones Newswires