Origin Energy (ASX:ORG) has entered into an agreement to sell its Darling Downs Pipeline Network in Queensland for $392 million.
The electricity and gas company says the sale lifts its asset divestment to $1 billion since it announced its divestment program in September 2015.
The assets divestment also exceeded its original $800 million target.
Origin Energy says the sale to Jemena Gas Pipelines Holdings Pty Ltd, is due to be completed by 30 June 2017 and represents a 16.9 times FY2018 EBITDA multiple.
As a result, the company says it’s on track to achieve adjusted net debt of well below $9 billion by 30 June 2017.
Shares in Origin Energy (ASX:ORG) opened 1.29% lower to $7.63.