MEC&F Expert Engineers : KINDER MORGAN PAYS $158 MILLION FOR THREE NORTH AMERICA STORAGE TERMINALS

Thursday, February 12, 2015

KINDER MORGAN PAYS $158 MILLION FOR THREE NORTH AMERICA STORAGE TERMINALS

FEBRUARY 12, 2015 

Kinder Morgan inked a deal Wednesday to purchase three terminals and one undeveloped site from Netherlands-based Royal Vopak for $158 million.

The acquisition covers a 36-acre, 1,069,500-barrel storage complex at Galena Park, Texas, that handles base oils, biodiesel and crude oil, immediately adjacent to Kinder Morgan’s Galena Park terminal complex.

The deal also includes two Vopak terminals in North Carolina, one in North Wilmington that handles chemicals and black oil, and one in South Wilmington that is not currently operating.

Houston-based Kinder Morgan will also acquire an undeveloped site at Perth Amboy, New Jersey, with waterfront access that can be developed.

The transaction, subject to customary approvals, is expected to close during the first quarter and will be immediately accretive to KMI earnings.

The acquisition will increase Kinder Morgan’s liquids storage capacity by more than 2.2 million barrels and 115 tanks while adding critical dock capacity on the Houston Ship Channel and in Wilmington.

“After closing, this transaction will further solidify Kinder Morgan’s position as the largest independent terminal operator in North America,” Kinder Morgan Terminals president John Schlosser said.