Energy firm BG has agreed the sale of its interest in the Central Area Transmission System (CATS) gas pipeline in the UK North Sea for £562million.
The system comprises a fixed-riser platform linked to the Everest oil and gas platform, 1.7 billion standard cubic feet per day (scfd) capacity subsea pipeline and a two-train onshore gas processing terminal at Teesside which has capacity of 1.2 billion scfd.
The deal with Antin Infrastructure Partners includes the sale of BG’s 62.78% interest CATS for £523million on completion of the transaction in the second half of the year and a deferred amount of £39million.
BG is looking to make a post-tax profit from the transaction of more than £400million.
But that sum might be offset by the knock-on effect of putting CATS on sale will have on the group’s North Sea assets in the second quarter of the year, BG said in a statement.
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