Deals
DTE, Rice Drop After Billion-Dollar Bets on U.S. Shale Gas
- DTE Energy to buy gas gathering systems for $1.3 billion
- Rice Energy to purchase Vantage Energy for about $2 billion
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DTE Energy Co. and Rice Energy Inc. fell in New York trading after announcing billion-dollar bets on eastern U.S. shale formations rich in natural gas. DTE’s credit ratings are being reviewed by Moody’s Investors Service.
DTE agreed on Monday to buy natural gas pipeline assets from M3 Midstream LLC and Vega Energy Partners Ltd. for $1.3 billion. The Canonsburg, Pennsylvania, gas explorer Rice Energy said it’s buying Vantage Energy LLC and Vantage Energy II LLC for about $2 billion, its biggest acquisition yet in the core of the Marcellus shale play of the U.S. East.