Buckeye Partners LP acquired a majority stake in a leading North American clean energy development and investment platform, Swift Current Energy, that Buckeye’s CEO says will better position the company for the “ongoing energy transition.”

The acquisition is being made as part of a new strategic partnership between Buckeye and Nala Renewables, a renewable energy company formed in 2020 by Trafigura, one of the world’s leading independent commodity trading companies, and global investment management firm IFM Investors.

Buckeye Partners is also owned by IFM Global Infrastructure Fund, an affiliate of IFM Investors which had acquired Buckeye for $6.5 billion in 2019.

“This strategic partnership offers an exciting opportunity to further advance critical renewable energy generation and storage development projects across the United States while growing this platform,” Buckeye President and CEO Clark C. Smith said in a statement. 

Boston-based Swift Current has a pipeline of over 6 gigawatts (GW) of solar, wind and energy storage projects located close to U.S. demand centers in liquid power markets. Over 2 GW of this capacity is attributable to eight solar projects which are in late-stage development.

“Through this investment and other renewable developments that align our business with the ongoing energy transition, we are positioning Buckeye to better serve our customers’ needs while improving the business’s long-term resiliency,” Smith continued. “We look forward to leveraging Buckeye’s resources to further strengthen and build the Swift Current platform to scale.”

The terms of the Swift Current transaction weren’t disclosed.

Swift Current’s experienced management team will retain a minority ownership in the company through their holding company, Lookout Ridge Energy Partners, and remain in place as the company’s management.

“We are thrilled about Swift Current’s next chapter as we continue to accelerate the development of renewable energy projects that help reduce emissions from our power generation sector,” Eric Lammers, Swift Current’s co-Founder and CEO, said in a statement.

Founded in 2016, Swift Current Energy acquires and develops highly competitive wind and solar energy projects in North America. The company has commercialized more than 1.1 GW of renewable projects since its founding.