The announcement in August that Bernhard Capital Partners (BCP) has agreed to acquire New Mexico Gas Company (NMGC) was the largest of three pipeline related transactions related to a Louisiana buyer, seller or target last month.  BCP, the Baton Rouge-based private equity group, will acquire NMGC from Emera Inc. in a transaction valued at $1.252 billion, including assumption of approximately $500 million in debt. The transaction is subject to approval by the New Mexico Public Regulation Commission and is expected to close in late 2025. Jeff Jenkins, founder and partner at BCP, emphasized, “This investment directly aligns with Bernhard Capital’s strategy to invest in infrastructure assets and utilities that are critical to building more resilient communities.” The NMGC deal follows BPC’s announcements in February 2024 and October 2023, respectively, that its portfolio company, Delta Utilities, will acquire CenterPoint Energy’s natural gas distribution operations in both Louisiana and Mississippi, and Entergy’s New Orleans and Baton Rouge natural gas distribution businesses. NMGC maintains over 12,000 miles of transmission and distribution pipelines and provides service to more than 545,000 commercial, residential and transportation customers. Assuming all three transactions close, BPC’s natural gas local distribution companies will serve more than 1.1 million customers. Since its founding, BCP has invested in nearly 70 companies across 20 platforms, including several utility companies, that collectively employ approximately 20,000 people globally. Also in August, a second Louisiana-based private equity group, Black Bay Energy Capital, agreed to sell its portfolio company, Piñon Midstream, LLC to Enterprise Products Partners in a debt-free transaction for $950 million in cash. The acquisition will significantly enhance Enterprise’s presence in the Delaware Basin, particularly in New Mexico and Texas. Piñon Midstream was formed in 2020 through an initial equity investment by Black Bay, to provide natural gas gathering and treating services in the core of the eastern flank of the Delaware Basin. The company’s assets include approximately 50 miles of natural gas gathering and redelivery pipelines, five 3-stage compressor stations, and facilities capable of treating 270 million cubic feet per day (MMcf/d) of hydrogen sulfide and carbon dioxide, with an expansion to 450 MMcf/d to be completed by late 2025. Additionally, Piñon operates two of the highest capacity and deepest acid gas injection (AGI) wells in the basin, with a third well under evaluation that would support up to 750 MMcf/d of total treating capacity. The company’s monitoring, reporting and verification plan for permanent sequestration of carbon dioxide in its two AGI wells was approved by the EPA in June 2024. Jim Teague, co-CEO of Enterprise’s general partner, stated, “We believe the Piñon management team has developed the premier sour natural gas treating system in the Delaware Basin.” The acquisition is expected to accelerate Enterprise’s entry into the region by three to four years and to provide a robust platform for future growth. “Black Bay has a history of partnering with talented entrepreneurs to build best-in-class businesses, such as Piñon Midstream, and also positioning them as strategic acquisition candidates for larger acquirers seeking growth opportunities,” said Michael LeBourgeois, managing partner of Black Bay. Sam Scofield, vice president, added, “The Piñon team successfully executed on their vision to build and scale critical H2S and CO2 treatment infrastructure for operators in the prolific Delaware Basin.” The transaction is anticipated to finalize in the fourth quarter of 2024, pending standard regulatory approval. Finally, in a transaction related to the Louisiana oil & gas industry, Tulsa-based Williams Companies (Williams) completed the acquisition of an additional 40% stake in Discovery Producer Services LLC, the owner of the Discovery Pipeline System, based in Larose, LA. The company offers natural gas gathering, processing and marketing services to producers. The Discovery Pipeline System is a 219-mile natural gas pipeline extending from the outer reaches of the Outer Continental Shelf, specifically the Ewing Bank, to a gas processing plant in LaRose. Williams previously owned a 60% stake in the pipeline, and now has paid $170 million for the remaining 40%, implying a value for the entirety of the Central GOM assets of $425 million. The Discovery Pipeline System features three major lateral pipelines, two of which run to platforms in the Grand Isle and South Timbalier Blocks. The Discovery system services some of the largest and most ambitious production operations in the Gulf of Mexico, including Chevron’s Anchor development and Beacon Offshore Energy Development’s Winterfell Five well program. 2025 should see Beacon’s sizeable Shenandoah project come online as well.   G.F. Gay Le Breton is managing director for Chaffe & Associates Inc., responsible for the corporate finance activities of the firm. Liam Norton is a corporate finance analyst with the firm. Investment banking services are provided by Chaffe Securities Inc., member FINRA/SIPC. For more information, visit http://chaffe-associates.com.