Subsequent Events

9 Months Ended

Sep. 30, 2019

Subsequent Events [Abstract]

Subsequent Events

SUBSEQUENT EVENT

During October 2019, DTE Energy entered into an agreement with Momentum Midstream and Indigo Natural Resources to purchase midstream natural gas assets in support of its strategy to continue to grow and earn competitive returns for shareholders. The agreement calls for DTE Energy to acquire 100 percent of M5 Louisiana Gathering, LLC and its wholly owned subsidiaries which provide natural gas gathering and other midstream services to producers, primarily in Louisiana. The acquisition has an estimated purchase price of $2.65 billion and is expected to close in December 2019, subject to customary closing conditions. The purchase price includes $2.25 billion to be paid in cash upon closing, plus an estimated $400 million milestone payment upon completion of a gathering pipeline in the second half of 2020. These assets will be a part of DTE Energy’s non-utility Gas Storage and Pipelines business. The acquisition will be financed through the issuance of Equity Units, common stock, and Senior Notes.

Upon closing, DTE Energy will obtain control over and apply acquisition accounting to the acquired entities, including disclosure of amounts recognized for the major classes of assets and liabilities acquired. DTE Energy will include all required information within the combined DTE Energy and DTE Electric Annual Report on Form 10-K for the year ending December 31, 2019.