Enbridge to Acquire Moda Midstream of North America for $3 billion

Enbridge Inc., a pipeline company in Canada has now agreed for the acquisition of the Moda Midstream operating LLC for a deal of 3 billion dollars for the purpose of adding the Gulf Coast oil exporting capacity of the United States.

The company Enbridge said, it is also going to buy a Moda Midstream Operating LLC for a deal of 3 billion dollars in the form of cash from the EnCao Flatrock Midstream, and the company Enbridge, that is already handling around a quarter if all the crude oil, which was produced in the region of North America, and it is also betting on a strong outlook for the exports of the oil, which is pumped from the Eagle Ford and the Permian shale basins.

The fracking revolution has not only been reviewing the oil production of the United States over the previous decade, and it has also turned the country into one of the biggest shippers of the commodity.

Enbridge, chief executive officer of Al Monaco said, their strategy has been driven by the important role that includes the sustainable and low cost energy supply of North America is going to play for the purpose of meeting the increasing global demand, and the company Enbridge also said, this acquisition is going to be initially funded with the existing liquidity and the deal, which has been expected for getting closed in the fourth quarter of 2021 and it is also going to add it to the earnings immediately.