update el paso acquisiton old valero teco systems el paso closer acquiring pg e texas assets el paso energy corp closer acquiring pg e corp texas gathering liquids businesses 840 million stock debt signing consent agreement earlier week deal includes 8 500 miles natural gas transmission pipelines transport 2 8 bcf nine processing plants process 1 5 bcf 7 2 bcf natural gas storage field pg e national energy group bought properties three years ago valero energy teco 1 02 billion unable turn profit purchased properties pg e paid premium price enter west east gas transportation market however since sale basis waha west texas katy houston ship channel tightened pg e could overcome roadblocks become major player assets also include significant natural gas liquids pipelines fractionation facilities serve texas major metropolitan areas large industrial load centers several natural gas trading hubs book value sale el paso estimated 2 5 billion 2 7 billion buying pg e assets el paso already experienced player liquids game deal first announced el paso said 70 cash flow generated texas assets came stable fee based activities balance processing el paso close completing merger coastal corp expects actively manage risk non fee based side part normal review process consent agreement signed week subject approval federal trade commission el paso also finalize similar agreement state texas agreements approved el paso energy expects close transaction fourth quarter