Group buys 65% stake in Bacton gas pipeline
- Credit: Archant � 2007
A majority stake in a mature gas pipeline has been bought by a private equity-backed company specialising in managing mid-life assets.
Cats Management Limited (CML) has acquired 65% of the Esmond Transportation System (ETS) which comes ashore at Bacton Gas Terminal.
The 165km pipe in the southern North Sea is operated by Perenco and, under the purchase agreement, the energy firm will continue to manage the system on behalf of CML.
Andy Hessell, managing director of CML, said: 'Growing our business in the southern North Sea allows us to diversify our asset portfolio through exposure to an entirely new catchment area with different business dynamics, and to acquire infrastructure that has the characteristics we value.'
CML has entered into three sale-and-purchase agreements with Premier Oil (30%), Centrica (25%) and Perenco (10%).