Summary
CenterPoint Energy, Inc. (CNP) announced a significant development through its subsidiary, CenterPoint Field Services, Inc., on September 9, 2009. The company has secured long-term agreements with subsidiaries of EnCana and Shell to provide gathering and treating services for their natural gas production in the Haynesville Shale region. This strategic move is expected to capitalize on the growing production from this key shale play and enhance CenterPoint's midstream services segment. These agreements represent a positive step for CenterPoint Energy, indicating a commitment to expanding its natural gas infrastructure and services in a resource-rich area. Investors should view this as a potential driver for future revenue growth and improved operational efficiency within its natural gas operations, particularly through its subsidiary CERC.
Key Highlights
- 1CenterPoint Energy's subsidiary, CenterPoint Field Services, Inc., entered into long-term agreements with EnCana and Shell subsidiaries.
- 2The agreements are for providing gathering and treating services for natural gas production.
- 3The services will support the growing production from the Haynesville Shale.
- 4This expansion strengthens CenterPoint's position in the natural gas midstream sector.
- 5The press release was furnished under Regulation FD and attached as Exhibit 99.1.
- 6The agreements are expected to contribute to the growth of CenterPoint's natural gas distribution, sales, and pipeline services.