As Houston’s Marathon Petroleum continues oil and gas exploration in Oklahoma’s STACK where it reported success this week with a large well, the company is merging two of its oil and gas pipeline, transportation and storage operations for $9 billion.
The company announced this week the merger of MPLX and Andeavor Logistics which are master limited partnerships majority owned by Marathon.
Andeavor unitholders will receive 1.135 MPLX common units for each Andeavor common unit held. Marathon will receive 1.0328 MPLX common units for each Andeavor common unit held.
The enterprise value of the deal is listed at $14 billion.
Andeavor, formerly known as Tesoro, has refineries in California, Minnesota, New Mexico, North Dakota, Texas, Utah, Washington and Alaska. The companies are all based in Findlay, Ohio.
The deal is targeted to close in the second half of the year.