Current owner CMS energy is in negotiations with APA, Origin Energy and Alinta over the sale of the 1375km Goldfields line and the 445km Parmelia line.
When contacted APA had no comment to make on the rumours except to confirm that the situation would become clearer in the next couple of weeks.
Macquarie Bank has also been talking up a potential sale price of $200 million for the pipelines, however in March 2003 APA paid $25 million for TransAlta’s eight percent stake in the Goldfield’s line, suggesting bids should be closer to $150 million.
If APA is successful in its bid the company will own almost 100% of the Goldfields line and will have total ownership of the Parmelia line. CMS and APA are currently in a JV running a subsidiary called Southern Cross Pipelines, which owns 60% of the Goldfields pipeline.
Alinta may be hamstrung in its bid for the assets with a final decision on its involvement in the future of the Dampier to Bunbury Pipeline still to be made clear. A final decision on both issues is expected within the next few weeks.
