April 12 (Bloomberg) -- QIC Global Infrastructure, which manages A$7 billion ($7.4 billion) in energy, water, utilities and airport investments, agreed to buy a pipeline in Australia from APA Group for A$401 million.
APA, whose pipelines deliver more than half of Australia’s natural gas, expects to complete the transaction with QIC at the end of April, the Sydney-based company said today in a statement. There was “strong interest shown by an international field of qualified buyers,” APA Managing Director Mick McCormack said in the statement.
QIC Global, founded in 2006 and based in Brisbane, gains a 1,185-kilometer (736-mile) pipeline system stretching from the Cooper Basin in central Australia to Adelaide, the capital of South Australia state. The asset may fetch about A$400 million, CIMB said in a March 26 report.
APA, with a gas pipeline network spanning more than 14,000 kilometers, plans to focus on expansion of existing assets after a deal last year to acquire Hastings Diversified Utilities Fund, which invests in energy infrastructure.
APA is interested in buying assets related to about $65 billion of liquefied natural gas projects coming up in Queensland state, if the developers of those plants opt to sell, McCormack said in an interview earlier this week.
To contact the reporter on this story: James Paton in Sydney at email@example.com
To contact the editor responsible for this story: Andrew Hobbs at firstname.lastname@example.org