Exterran Holdings Inc. is selling 259,000 hp (188 MW) of compression assets to Exterran Partners LP for US$174 million in stock.

The bulk of the deal includes 370 compressor units totaling 253,000 hp (193 MW) serving contracts with 50 customers. The units are about 8% (by available horsepower) of the combined U.S. contract business of Exterran Holdings and Exterran Partners.

Brad Childers, Exterran Holdings president and CEO, said the transaction is another step in the plan for Exterran Partners to be the growth vehicle for Exterran Holdings’ contract business. It brings Exterran Partners’ U.S. contract operations fleet to 2.4 million hp (1800 MW).

“We plan to continue to create value through Exterran Partners by continued growth through dropdown transactions, organic growth and third party acquisitions,” he said.