Williams Closes Acquisition of Major Natural Gas Storage Portfolio

Group 1 - Williams has completed the acquisition of a portfolio of natural gas storage assets from Hartree Partners LP for $1.95 billion, which includes six underground storage facilities in Louisiana and Mississippi with a total capacity of 115 billion cubic feet (Bcf) [1][2] - The acquisition also includes 230 miles of gas transmission pipeline and 30 pipeline interconnects to key markets, including LNG markets, and connections to Transco, the largest natural gas transmission pipeline in the U.S. [1][2] - The acquisition price reflects an approximate 10x estimated 2024 EBITDA multiple, indicating a strategic investment in the growing natural gas sector [1] Group 2 - The six storage facilities consist of four salt domes with a combined capacity of 92 Bcf and two depleted reservoirs with a combined capacity of 23 Bcf, featuring an injection capacity of 5 Bcf/d and a withdrawal capacity of 7.9 Bcf/d, among the highest in the U.S. [2] - The acquisition is expected to enhance Williams' transportation network, addressing the growing demand for natural gas driven by LNG exports and power generation [2] - Williams aims to integrate the Hartree team and the new storage platform into its existing natural gas transportation and marketing services, thereby delivering additional value to shareholders [2]