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Divestiture
6 Months Ended
Jun. 30, 2013
Divestiture  
Divestiture

5. Divestiture

 

In June 2013, the Partnership completed the sale of certain gathering assets in Doddridge County, West Virginia (“Sherwood Asset Sale”) to Summit Midstream Partners, LP (“Summit”) for approximately $207.9 million cash, net of third party transaction costs.  In connection with the transaction, Summit assumed liabilities associated with the purchased assets other than certain identified liabilities that were retained by the Partnership.  Liquids-rich gas gathered by these assets is dedicated to the Partnership for processing at the Liberty segment’s Sherwood processing complex, also located in Doddridge County, West Virginia. The assets included in this transaction consist of over 40 miles of newly constructed high-pressure gas gathering pipelines, certain rights-of-way associated with the pipeline, and two compressor stations totaling over 21,000 horsepower of combined compression.  The assets had a carrying value of approximately $169.7 million and were part of the Partnership’s Liberty segment.  The gain of approximately $38.2 million on the Sherwood Asset Sale is included in Gain (loss) on disposal of property, plant, and equipment in the accompanying Condensed Consolidated Statements of Operations.