Williams to Acquire Momentum Midstream in $5.5 Billion Deal
Summary Points
- Williams agreed to acquire Momentum Midstream from EnCap Flatrock Midstream.
- The deal is valued at up to $5.5 billion.
- The consideration includes $3.5 billion in cash and assumed debt, plus about $2 billion in Williams shares.
- The acquisition is intended to strengthen Williams’ natural gas transportation network along the U.S. Gulf Coast.
- Williams said the transaction remains subject to regulatory approvals and customary closing requirements.
- The company also reported stronger second-quarter 2026 results and raised its 2026 adjusted EBITDA midpoint to $8.4 billion.
Williams Agrees to Buy Momentum Midstream in Up to $5.5 Billion Deal
Williams has reached an agreement to acquire Momentum Midstream from EnCap Flatrock Midstream in a transaction valued at up to $5.5 billion.
What Readers Should Know
- Williams agreed to acquire Momentum Midstream from private equity firm EnCap Flatrock Midstream.
- The transaction is valued at up to $5.5 billion.
- The deal includes $3.5 billion in cash and assumed debt, plus about $2 billion in Williams shares.
- The acquisition is expected to strengthen Williams’ natural gas transportation network along the U.S. Gulf Coast.
- The transaction remains subject to regulatory approvals and customary closing requirements.
SEATTLE (Oil Monster): U.S. energy infrastructure company Williams has reached an agreement to acquire Momentum Midstream from private equity firm EnCap Flatrock Midstream.
The transaction, valued at up to $5.5 billion, is expected to strengthen its natural gas transportation network along the U.S. Gulf Coast region.
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Deal Structure and Timing
The deal includes $3.5 billion in cash and assumed debt, along with approximately $2 billion in Williams shares. The acquisition is expected to close, subject to receipt of necessary regulatory approvals and meeting of customary closing requirements.
Why Williams Wants Momentum
The acquisition will enhance Williams’ position in one of North America's fastest-growing natural gas regions, said a company news release. Furthermore, it will support rising domestic and export demand, it added.
Momentum Midstream’s Assets
Houston-based Momentum Midstream owns and operates more than 4,000 miles of natural gas gathering and transmission pipelines, serving key production areas across Texas and Louisiana.
The company has been witnessing rapid expansion in recent years through acquisitions and infrastructure projects, including the NG3 pipeline and the purchase of Clearfork Midstream.
Williams Reports Strong Results
In related news, Williams reported strong second-quarter 2026 financial results. Net income climbed 51% year over year to $827 million, while adjusted EBITDA increased 6% to $1.92 billion.
Taking into consideration the expected benefits from the Momentum acquisition, the company raised the midpoint of its 2026 adjusted EBITDA guidance to $8.4 billion.
Frequently Asked Questions
What did Williams agree to buy?
Williams agreed to acquire Momentum Midstream from private equity firm EnCap Flatrock Midstream.
What is the deal worth?
The transaction is valued at up to $5.5 billion.
How will Williams pay for the acquisition?
The deal includes $3.5 billion in cash and assumed debt, plus about $2 billion in Williams shares.
What will the acquisition add to Williams?
The acquisition is expected to strengthen Williams’ natural gas transportation network along the U.S. Gulf Coast region.
What financial update did Williams report?
Williams said second-quarter 2026 net income rose 51% year over year to $827 million, while adjusted EBITDA increased 6% to $1.92 billion.
Source: Oil Monster