1316 ET - Phillips 66's deal to buy EPIC, the natural gas liquids pipeline owner, for $2.2 billion will expand and diversify the oil refiner's supplies in the Permian Basin, a large oil region located in western Texas and southeastern New Mexico, UBS analysts say in a research note. The purchase will also increase Phillips' access to fractionation and purification facilities located along the Gulf Coast. And Phillips expects the buy to be immediately accretive, generating $280 million in Ebitda. The analysts also say they don't expect a material uptick in leverage as Phillips 66 will have the incremental cash coming in the door to pay for the transaction. (connor.hart@wsj.com)
(END) Dow Jones Newswires
January 07, 2025 13:16 ET (18:16 GMT)
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