Williams Companies agreed to buy Momentum Midstream in a deal valued at up to $5.5 billion, the company said. The consideration splits into about $3.5 billion of cash and debt and roughly $2 billion of Williams equity. Momentum expands Williams' Midstream & LNG footprint in the Haynesville shale, positioned to serve growing Gulf Coast demand for liquefied natural gas and power.
What Momentum brings
Momentum adds more than 4,000 miles of pipeline and more than 1 million dedicated acres in the Haynesville. Its gathering system moves 6 billion cubic feet a day, and three take-or-pay pipelines, contracts that require a shipper to pay for capacity whether or not it is used, can carry a combined 4.05 billion cubic feet a day. Williams said the transaction implies about 8.5 times projected 2027 EBITDA and is expected to add to earnings per share and to available funds from operations per share.
Two new pipeline projects
The deal comes with two expansion projects tied to the new footprint. The Delta Access project is expected to cost about $1.5 billion and provide initial capacity of 2.25 billion cubic feet a day, with startup planned for the first quarter of 2029. The Shelby Trough Connector would add 750 million cubic feet a day of initial capacity and enter service in the second quarter of 2028.
Outlook raised
Williams Companies raised its 2026 adjusted EBITDA forecast to a range of $8.3 billion to $8.5 billion, up from a prior midpoint of $8.2 billion. CEO Chad Zamarin said the deal gives Williams a platform in what he called "the country's most important LNG demand corridor."
Quarterly results
Williams separately reported second-quarter adjusted EBITDA of $1.921 billion, up from $1.808 billion a year earlier. Net income rose to $827 million, or $0.68 per diluted share, from $546 million, or $0.45 per share, a year ago. Zamarin said the company "delivered another quarter of solid results."
