Deal Details
According to people who requested anonymity because the talks are private, Enbridge Inc. is close to a deal to buy the Pony Express Pipeline in the US from Blackstone Inc.'s Tallgrass Energy at a price of about $2 billion. Representatives for Enbridge, Blackstone and Tallgrass did not immediately respond to requests for comment.
Timeline and Uncertainty
People with knowledge of the talks said a deal could be unveiled in the coming days. They also cautioned that no agreement is finalized, and the discussions might collapse or the timetable could change.
Politics and Trade Backdrop
Company Footprint and Ownership
Pony Express hauls crude roughly 900 miles from the Rocky Mountain fields to Cushing, Oklahoma, one of the world's most active pipeline hubs. Enbridge, headquartered in Calgary, already has a large US footprint. Across North America, its system transports crude originating in Western Canada as well as natural gas produced in the US to utilities, refineries and LNG export terminals.
The 2017 purchase of Spectra Energy for $28 billion made Enbridge the continent's biggest operator of pipelines and storage. Tallgrass Energy was taken private by Blackstone Infrastructure Partners LP in 2020.
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What This Means For Your Money
If the deal closes, control of a key crude corridor into Cushing would change hands, which can influence flows, fees and how this piece of midstream capacity fits into a bigger network. If it doesn't, that is a signal too about where cross-border politics and energy logistics are colliding. Either way, it is a real-time look at how trade tensions and pipeline assets can shape the cash generation behind many income-focused energy holdings.
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