An affiliate of DTE Energy Co. said Oct. 18 it is buying a Haynesville Shale pipeline in a multibillion-dollar transaction as the U.S. power utility expands its natural gas pipelines and storage business.

The Detroit-headquartered company’s non-utility business, DTE Midstream, entered into an agreement to acquire the assets from Momentum Midstream LLC and Indigo Natural Resources LLC for about $2.7 billion in cash that includes a multimillion-dollar contingency payment due in late 2020.

As a result, DTE Midstream will acquire 100% of M5 Louisiana Gathering LLC. Momentum Midstream and Indigo Natural Resources each hold a 50% stake in M5 Midstream.

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