PVR Buys Chief Gathering/Marcellus Pipelines for $1B
Calling it a “transformational transaction” for the company, Penn Virginia Resource Partners (PVR) today announced they are buying Chief Gathering for $1 billion in cash and stock. Chief Gathering is a midstream pipeline company with assets (pipelines) located mostly in northeastern Pennsylvania in the Marcellus Shale. The deal includes existing pipeline agreements with drilling heavyweights like Chesapeake, Anadarko, Statoil, Exxon Mobil and others. PVR CEO William Shea says the new combined pipeline operation for PVR will represent 75 percent of its business by the end of next year (it’s currently 40-45 percent of their business).
From the PVR press release:
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It certainly didn’t taken long for anti-drillers to start talking down LPG (waterless) fracking. Just last week, a Tioga County, NY landowner group announced they will sign a lease with eCorp to allow drilling on 135,000 acres in New York using a proprietary technology by Canadian company GASFRAC (
The anti-drilling crowd is about to be tested as to their true reasons for opposing shale gas drilling, and it will happen in leftist paradise—New York State.
One of the companies that has been sniffing around the concept of building an ethane cracker plant in the Marcellus/Utica region is Aither Chemicals. MDN wrote about Aither’s interest in building a cracker plant in West Virginia back in January (