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Bloomberg reports that Williams is in negotiations with Momentum Midstream for a $5.5 billion deal.

Bloomberg News reported?on Sunday that U.S. Pipeline Operator?Williams was in advanced discussions to acquire Momentum 'Midstream, the natural gas pipeline company of its rival, for $5.5 billion. This is according to people familiar with this matter.

The Tulsa-based company, which is based in Oklahoma, is finalizing an agreement to purchase Momentum from the private equity firm EnCap Flatrock?Midstream. According to the report, a deal may be announced within a week.

Could not immediately verify the report. Williams Companies, Momentum Midstream, and EnCap Flatrock Midstream didn't?immediately reply to a request for comment.

Bloomberg reported that the deal would give Williams a greater capacity to transport gas from the Haynesville Shale to U.S. Gulf Coast terminals.

According to the report, EnCap has not made a final decision and could still choose to keep the company.

Williams is looking to acquire U.S. natural gas production assets to secure supplies for its hyperscalers, data center clients and other customers.

According to the website of Momentum Midstream, it operates around 4,000 miles (6.437 km) of pipelines and serves more than 140 clients across its network. It also services?10 liquefied gas facilities and 26 electricity plants. (Reporting and editing by Edmund Klamann in Bengaluru, Bill Berkrot, and Bipasha dey)

(source: Reuters)