<p>Reliance Industries has sold its 49.9 per cent stake in a US joint venture that owns a pipeline network for transportation of shale oil and gas, to New York-listed Enterprise Products Partners for USD 1.07 billion.<br /><br />RIL and its partner Pioneer Natural Resources Co sold off Eagle Ford (EFS) Midstream venture, that owns a 460 miles pipeline network, to Enterprise Products Partners for USD 2.15 billion.<br />Enterprise in a statement said, "The purchase price will be paid in two instalments with the first instalment of USD 1.15 billion paid at closing and the final instalment of USD 1 billion paid no later than the first anniversary of the closing date."<br /><br />EFS Midstream venture was formed in 2010 to construct facilities to provide gathering and handling services for condensate and natural gas produced from wells on dedicated acreage in the Eagle Ford.<br /><br />RIL, through its subsidiary Reliance Holding USA Inc had acquired 49.9 per cent stake in EFS Midstream LLC in June 2010.<br /><br />The Midstream system consists of 10 gathering plants and about 460 miles of pipelines. The system gathers and separates produced condensate from produced gas.<br /><br />It also stabilises the condensate, where necessary, and treats the gas produced from the Eagle Ford upstream joint venture operated by Pioneer with 46 per cent. RIL holds 45 per cent interest in the Eagle Ford upstream joint venture and the rest 9 per cent is with Newpek LLC.<br /><br />It is being speculated that RIL may be looking at selling this stake as well. RIL, which bought 45 per cent interest in Pioneer Natural Resources Co's Eagle Ford shale formation of south Texas for USD 1.3 billion, is working with Citigroup Inc and Bank of America Merrill Lynch to find a buyer.<br /><br />The Eagle Ford assets, spread over 230,000 acres, have become more attractive after the US Commerce Department, in June last year, gave Pioneer permission to export a type of ultralight oil known as condensate produced from the region.<br /><br />Besides Eagle Ford, RIL has two more shale ventures in the US - 40 per cent stake in Chevron's Marcellus shale acreage and a 60 per cent interest in Carrizo Oil and Gas Inc's Marcellus shale acreage in Central and Northeast Pennsylvania.</p>.<p><br />"Enterprise Products Partners LP today announced it has executed definitive agreements to purchase all of the member interests in EFS Midstream LLC from affiliates of Pioneer Natural Resources Company and Reliance Industries Limited for USD 2.15 billion," the statement by the New York listed firm said.<br /><br />Under the terms of the agreements, the Pioneer and Reliance to use the EFS Midstream for moving condensate and gas for 20 year on fee-based arrangement. </p>
<p>Reliance Industries has sold its 49.9 per cent stake in a US joint venture that owns a pipeline network for transportation of shale oil and gas, to New York-listed Enterprise Products Partners for USD 1.07 billion.<br /><br />RIL and its partner Pioneer Natural Resources Co sold off Eagle Ford (EFS) Midstream venture, that owns a 460 miles pipeline network, to Enterprise Products Partners for USD 2.15 billion.<br />Enterprise in a statement said, "The purchase price will be paid in two instalments with the first instalment of USD 1.15 billion paid at closing and the final instalment of USD 1 billion paid no later than the first anniversary of the closing date."<br /><br />EFS Midstream venture was formed in 2010 to construct facilities to provide gathering and handling services for condensate and natural gas produced from wells on dedicated acreage in the Eagle Ford.<br /><br />RIL, through its subsidiary Reliance Holding USA Inc had acquired 49.9 per cent stake in EFS Midstream LLC in June 2010.<br /><br />The Midstream system consists of 10 gathering plants and about 460 miles of pipelines. The system gathers and separates produced condensate from produced gas.<br /><br />It also stabilises the condensate, where necessary, and treats the gas produced from the Eagle Ford upstream joint venture operated by Pioneer with 46 per cent. RIL holds 45 per cent interest in the Eagle Ford upstream joint venture and the rest 9 per cent is with Newpek LLC.<br /><br />It is being speculated that RIL may be looking at selling this stake as well. RIL, which bought 45 per cent interest in Pioneer Natural Resources Co's Eagle Ford shale formation of south Texas for USD 1.3 billion, is working with Citigroup Inc and Bank of America Merrill Lynch to find a buyer.<br /><br />The Eagle Ford assets, spread over 230,000 acres, have become more attractive after the US Commerce Department, in June last year, gave Pioneer permission to export a type of ultralight oil known as condensate produced from the region.<br /><br />Besides Eagle Ford, RIL has two more shale ventures in the US - 40 per cent stake in Chevron's Marcellus shale acreage and a 60 per cent interest in Carrizo Oil and Gas Inc's Marcellus shale acreage in Central and Northeast Pennsylvania.</p>.<p><br />"Enterprise Products Partners LP today announced it has executed definitive agreements to purchase all of the member interests in EFS Midstream LLC from affiliates of Pioneer Natural Resources Company and Reliance Industries Limited for USD 2.15 billion," the statement by the New York listed firm said.<br /><br />Under the terms of the agreements, the Pioneer and Reliance to use the EFS Midstream for moving condensate and gas for 20 year on fee-based arrangement. </p>