Sidley Represents Enbridge in US$2.55 Billion Acquisition of Tallgrass’ Crude Transportation Business

Sidley represented Enbridge Inc. (TSX: ENB) (NYSE: ENB) in its definitive agreement with wholly owned subsidiaries of Tallgrass Energy, LP to acquire Tallgrass’ crude oil business for cash consideration of US$2.55 billion.

The acquired business includes a 75% interest in the Pony Express Pipeline, a 1,050-mile crude system of approximately 460 kBPD that connects Rockies production to Cushing, Oklahoma; a 51% interest in the Powder River Gateway system, comprising two crude pipelines with combined capacity of approximately 240 kBPD; roughly 8.4 million barrels of storage capacity across nine crude terminals, including a non-operating interest in the Deeprock Crude Terminal in Cushing; and Stanchion Energy, a crude marketing business. The transaction also includes the PXP2 growth project, an expansion of Pony Express expected to enter service in late 2027.

The acquisition strengthens Enbridge’s position as North America’s leading crude oil transporter and expands its footprint into the U.S. Rockies region, providing a strategic connection among the Bakken, Powder River, and Denver-Julesburg basins through Cushing. The transaction is expected to close later in 2026, subject to customary regulatory approvals and closing conditions, including clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.

The Sidley team was led by partners Atman Shukla and Cliff Vrielink, with assistance from Stephen Boone and managing associate Anthony Hilbert (all Energy and Infrastructure). The team also included Angela Richards and Eric Ma (Tax); Eric Winwood (Employee Benefits and Executive Compensation); Heather Palmer (Environmental, Health, and Safety); Lauren Grau (Intellectual Property); Estella Serrano (M&A); and Tiphaine Kugener, Eva Romero-Sutherland, and Ty Kennington (all Energy and Infrastructure).