Tenneco to Buy Some Assets of Goodyear Unit
Goodyear Tire & Rubber Corp. and Tenneco Inc. said they have reached an agreement for Tenneco to buy certain operations of Goodyear’s Celeron group of energy-related companies for about $500 million, the two firms announced Tuesday.
Included in the proposed sale are all gas transmission, processing and certain related production facilities making up some of the Celeron group. Excluded from the sale is All-American Pipeline Co., which is building a crude oil pipeline from California to Texas.
Also excluded are the company’s onshore oil and gas properties other than those in the Monroe, La., gas field, its exploration and production business and its extensive offshore California interests.
Tenneco will be buying the intrastate gas pipeline system operated by Louisiana Intrastate Gas, which is more than 1,800 miles long; the 970-mile interstate gas transmission system operated by Mid-Louisiana Gas Co.; three gas processing plants, and interests in two additional plants.
Goodyear acquired Celeron in June, 1983, and said it agreed to the sale because a major restructuring in the gas industry is causing bigger and fewer gas transmission systems to be formed.