In a significant move within the energy infrastructure sector, I Squared, MPLX LP, and Enbridge Inc. have announced a definitive agreement to acquire equity interests in the Matterhorn Express Pipeline. The acquisition sees the trio taking over stakes previously held by Ridgemont Equity Partners and Devon Energy Corp.

Upon the successful completion of the transaction, the ownership structure of the Matterhorn Express Pipeline will be as follows: WhiteWater will hold a 65% stake, with its equity interest jointly backed by FIC and I Squared. MPLX and Enbridge will each acquire a 10% ownership in the pipeline. WhiteWater, the current operator, will continue in this role.

The Matterhorn Express Pipeline, which commenced operations in November 2024, represents a substantial piece of infrastructure designed to transport approximately 2.5 billion cubic feet of natural gas per day of fully contracted capacity. This extensive system spans roughly 510 miles, utilizing both 36-inch and 42-inch diameter mainline pipes, complemented by associated compression facilities. Its primary function is to transport natural gas from the prolific Waha area in the Permian Basin, a key energy production hub, to Wharton, Texas. Furthermore, the pipeline offers additional delivery capabilities into the Katy, Texas, region, a significant demand center for natural gas.

The pipeline network also includes two 36-inch diameter lateral lines within the Midland Basin. These laterals, measuring approximately 50 miles and 85 miles in length respectively, further enhance the system's reach and connectivity within the Permian Basin.

For MPLX and Enbridge, this acquisition represents an opportunity to expand their footprint in a premier natural gas transportation corridor. Both companies have significant experience in the midstream sector and are likely to leverage their expertise to further optimize the pipeline's operations and connectivity. I Squared, through its backing of WhiteWater's majority stake, further solidifies its investment in critical energy infrastructure.

The transaction is subject to customary closing conditions and is anticipated to be finalized in the second quarter of 2025.1 While the specific financial terms of the agreement were not disclosed, the involvement of these major players highlights the significant value and strategic importance of the Matterhorn Express Pipeline in the broader energy landscape. This acquisition is poised to bring together the operational expertise of WhiteWater with the financial strength and strategic vision of I Squared, MPLX, and Enbridge, ensuring the continued efficient and reliable transportation of natural gas from the Permian Basin to key demand centers.