SemGroup Corporation to Build Maurepas Pipeline
March 26 2015 - 4:30PM
Pipeline to Support Motiva
Enterprises LLC's Gulf Coast Refineries Increases Inventory of
Assets to Drop Down to Rose Rock Midstream in the Future
SemGroup® Corporation (NYSE:SEMG) today announced plans to
construct, own and operate three new pipelines in the U.S. Gulf
Coast region of Louisiana, collectively named the Maurepas
Pipelines. The Maurepas Pipelines will support Motiva Enterprises
LLC's efforts to interconnect and optimize its refinery
operations.
"We are pleased to announce our first asset development project
in the Gulf Coast region, an important growth area for SemGroup. We
are excited to work with Motiva, a Gulf Coast refining leader, to
advance its Louisiana refinery integration project," said Carlin
Conner, SemGroup chief executive officer. "This $500 million
investment will expand SemGroup's scale and customer base, creating
a more diversified midstream company while adding to our inventory
of assets to drop down to our MLP, Rose Rock Midstream, in the
future. We remain focused on expansion projects that create value
for our customers, are executed at mid-to-high single digit EBITDA
multiples and generate attractive returns for our
shareholders."
Project Details:
- 24-inch, 34.2 mile crude oil pipeline connected to LOCAP,
crossing the Mississippi River and terminating at Motiva's Norco
refinery;
- 12-inch, 35 mile intermediates pipeline between Motiva's Norco
and Convent refineries; and
- 6-inch, 34 mile intermediates pipeline between Motiva's Norco
and Convent refineries.
This project is supported by long-term transportation agreements
with Motiva and is expected to be operational in the fourth quarter
of 2016.
About SemGroup
Based in Tulsa, Oklahoma, SemGroup® Corporation (NYSE:SEMG) is a
publicly traded midstream service company providing the energy
industry the means to move products from the wellhead to the
wholesale marketplace. SemGroup provides diversified services for
end users and consumers of crude oil, natural gas, natural gas
liquids, refined products and asphalt. Services include purchasing,
selling, processing, transporting, terminalling and storing
energy.
About Rose Rock Midstream
Rose Rock Midstream®, L.P. (NYSE:RRMS) is a growth-oriented
Delaware limited partnership formed by SemGroup® Corporation
(NYSE:SEMG) to own, operate, develop and acquire a diversified
portfolio of midstream energy assets. Headquartered in Tulsa, OK,
Rose Rock Midstream provides crude oil gathering, transportation,
storage and marketing services with the majority of its assets
strategically located in or connected to the Cushing, Oklahoma
crude oil marketing hub.
Forward-Looking Statements
Certain matters contained in this Press Release include
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. We make these
forward-looking statements in reliance on the safe harbor
protections provided under the Private Securities Litigation Reform
Act of 1995.
All statements, other than statements of historical fact,
included in this Press Release including the initial capacity and
anticipated completion date of the pipeline, may constitute
forward-looking statements. Although we believe that the
expectations reflected in these forward-looking statements are
reasonable, we cannot assure you that these expectations will prove
to be correct. These forward-looking statements are subject to
certain known and unknown risks and uncertainties, as well as
assumptions that could cause actual results to differ materially
from those reflected in these forward-looking statements. Factors
that might cause actual results to differ include, but are not
limited to, the possibility that we may encounter construction
delays beyond our control, as well as other risk factors discussed
from time to time in each of our documents and reports filed with
the SEC.
Readers are cautioned not to place undue reliance on any
forward-looking statements contained in this Press Release, which
reflect management's opinions only as of the date hereof. Except as
required by law, we undertake no obligation to revise or publicly
release the results of any revision to any forward-looking
statements.
CONTACT: Investor Relations:
Alisa Perkins
918-524-8081
investor.relations@semgroupcorp.com
Media:
Kiley Roberson
918-524-8594
kroberson@semgroupcorp.com
Rose Rock Midstream, L.P. Common Units Representing Limited Partner Interests (NYSE:RRMS)
Historical Stock Chart
From Jun 2024 to Jul 2024
Rose Rock Midstream, L.P. Common Units Representing Limited Partner Interests (NYSE:RRMS)
Historical Stock Chart
From Jul 2023 to Jul 2024