King & Spaldingadvised Haddington Ventures, L.L.C., in a definitive agreement to sell the Bobcat Gas Storage assets and development project to Spectra Energy Corp. for $540 million.
Completion of the transaction is subject to approval under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions. The transaction is expected to close before year-end 2010.
Located in Port Barre, La., the project began development in 2006 and entered commercial operation in November 2008. Following the addition of a second cavern in 2009, the facility has working gas storage capacity of approximately 19 billion cubic feet.
The Bobcat Gas Storage Project was developed by Port Barre Investments, LLC, which is owned by members of management, Haddington Energy Partners III LP, a private equity fund managed by Haddington Ventures, L.L.C., and GE Energy Financial Services, the energy investing unit of GE.
A King & Spalding cross-office legal team was involved in the transaction, led by Houston-based energy transactions partner John P. Crespo, in association with Kenneth S. Culotta, the Haddington client leader and a Houston-based energy transactions partner. Assisting with the deal were the following lawyers and consultant:
Energy transactions: Denis A. Fallon (associate, Houston); Michael Sparks (associate, Houston); Tara L. Teeter (associate, Houston).
Tax: Donald S. Kohla (partner, Atlanta); Wayne L. Pressgrove (partner, Atlanta); Jan G. Marsh (consultant, Atlanta).
Real estate: Peter M. Oxman (partner, Houston).
Antitrust: Jeffrey S. Spigel (partner, Washington); Brian R. Meiners (associate, Washington).
Environmental: Harold M. Shaw (counsel,Washington).