Abu Dhabi's ePointZero Buys $2.25B Stake In US Natural Gas Pipelines In First American Deal

Abu Dhabi-based energy infrastructure platform ePointZero has completed the acquisition of Traverse Midstream Partners for $2.25 billion in cash, marking its first entry into the US natural gas market.ePointZero acquires Traverse Midstream PartnersThe transaction, which closed on Tuesday, gives ePointZero a 35% stake in the Rover Pipeline and a 25% stake in the Ohio River System, both operated by Energy Transfer, one of the largest midstream operators in the US, according to a statement from ePointZero.The assets are located in the Appalachian Basin, which spans the Utica and Marcellus shale formations and is the largest natural gas production region in North America and one of the most significant sources of supply globally.Both systems provide connectivity between supply basins and key demand centers, moving natural gas across major US markets, including LNG export corridors, power generation networks, and industrial hubs. They are underpinned by long-term take-or-pay contracts, meaning revenues are contracted regardless of how much gas actually flows through the pipes, providing the stable, predictable cash flows that infrastructure investors typically seek. Low-cost reserves in the Appalachian Basin ensure production remains competitive across commodity price cycles, supporting sustained high utilization of the infrastructure.ePointZero is a subsidiary of 2PointZero Group, which is headquartered in the UAE and is also the parent company of International Resources Holding, the Abu Dhabi-based natural resources investment platform that recently signed an $11.5 billion aluminium joint venture with Adani Enterprises in India.JPMorgan Securities acted as financial advisor to ePointZero, with Santander US Capital Markets leading the committed financing and Mizuho also providing committed financing. Crucial quoteMohamed Hesham, CEO of ePointZero, described the acquisition as a landmark transaction for the platform. "By securing a significant stake in a premier North American natural gas transportation network, we are not only acquiring stable, long-term yields but are backing a platform that can reliably deliver gas to customers and markets where demand is rapidly growing," he said, citing potential plans for further expansion in North America. Key backgroundTraverse Midstream Partners was a portfolio company of The Energy and Minerals Group (EMG), a specialized natural resources private equity firm founded in 2006 with approximately $12 billion in assets under management as of December 2025. EMG's funds and co-investments have returned approximately $14 billion to limited partners to date. During EMG's ownership, the business established a valuable position in two of the most strategically important natural gas systems in North America, supported by growing demand.