Arc Logistics Partners LP has entered into an agreement to acquire from Gulf Oil Ltd Partnership, following the purchase of Gulf Oil by affiliates of ArcLight Capital Partners LLC, four refined products terminals. The terminals are located in Altoona, Mechanicsburg, Dupont and South Williamsport, Pennsylvania. This acquisition will extend the Partnership’s operational footprint into the state of Pennsylvania.
The acquisition is expected to close in January 2016, subject to customary closing conditions. The sale of the Terminals by Gulf Oil has been mandated by the Federal Trade Commission pursuant to its decision and order to resolve certain matters relating to ArcLight’s acquisition of Gulf Oil, which closed on 29 December 2015.
The transaction, at closing, is expected to increase the Partnership’s total shell capacity by approximately 12%, to 7.7 million barrels across twenty-one terminals. The transaction also provides the Partnership with an option to purchase additional land with storage tanks located adjacent to one of the Terminals from Gulf Oil for an agreed upon price.
Following closing, ARCX will operate the Terminals to support new and existing third-party customers’ activity across the Terminals. The Terminals include 28 storage tanks with 816 000 barrels of shell capacity and more than 20 acres of land available for development for customer-driven commercial activities. The Terminals receive, store and deliver gasoline, distillates, ethanol and biodiesel via pipeline and/or truck connectivity and offer ethanol and biodiesel blending and additive injection services to its customers.
Edited from press release by Angharad Lock
Read the article online at: https://www.hydrocarbonengineering.com/refining/04012016/arc-logistics-acquires-refined-products-terminals-1841/