UGI Corporation, via its subsidiary UGI Energy Services, LLC (UGIES), has announced the completed acquisition of Superior Midstream Appalachian by Pine Run Gathering LLC for $120 million. Pine Run Gathering is a collaborative venture with UGIES owning 49% of the shares, while Stonehenge Energy Resources III possesses the remaining 51%.
Superior Appalachian operates three major gathering infrastructures in Pennsylvania, specifically in Pittsburgh Mills, Snow Shoe, and Brookfield. Of particular significance is the integration of the Pittsburgh Mills system with UGIES' Big Pine gathering network, a move expected to bolster connectivity and streamline operational processes.
This acquisition was fully funded through debt financing by Pine Run Gathering and is anticipated to have an immediate positive impact on earnings.
At the close of trading on Monday, UGI shares rose by 1.58%, or $0.48, ending at $30.80 on the New York Stock Exchange.
