​TC Energy sells U.S. midstream assets in Appalachian Basin for $1.7 billion

TC Energy CEO Russ Girling. Image: Teddy Kwok

CALGARY — TC Energy Corp. has signed a deal to sell U.S. midstream assets held by its subsidiary, Columbia Midstream Group, to UGI Energy Services LLC for $1.7 billion.

Columbia Midstream Group owns four natural gas gathering systems and an interest in a company with gathering, processing and liquids assets in the Appalachian Basin.

TC Energy CEO Russ Girling says the sale is part of the company's efforts to prudently fund its portfolio of natural gas pipeline, liquids pipelines and power generation projects.

The deal is expected to close in the third quarter of this year, subject to closing adjustments and customary regulatory approvals.

The sale does not include Columbia Energy Ventures Co., TC Energy's minerals business in the region.

TC Energy, which changed its name from TransCanada this year, said it also continues to own and operate its network of interstate pipelines in the Appalachian Basin with its Columbia Gas Transmission system.

© 2019 The Canadian Press