USD Partners LP Announces Closing of Casper Terminal Sale
April 03 2023 - 4:23PM
Business Wire
A wholly-owned subsidiary of USD Partners LP (NYSE: USDP) (the
“Partnership”) announced today that on March 31, 2023, it closed
the previously announced sale of the Casper rail terminal to South
49 Holdings Ltd., a member of the Midstream Energy Partners group
of companies, for a cash purchase price of approximately $33.0
million, subject to customary adjustments.
Piper Sandler & Co. served as the exclusive financial
advisor to the Partnership in connection with the transaction.
Gibson, Dunn & Crutcher LLP served as legal advisor to the
Partnership.
About USD Partners LP
USD Partners LP is a fee-based, growth-oriented master limited
partnership formed in 2014 by US Development Group, LLC (“USD”) to
acquire, develop and operate midstream infrastructure and
complementary logistics solutions for crude oil, biofuels and other
energy-related products. The Partnership generates substantially
all of its operating cash flows from multi-year, take-or-pay
contracts with primarily investment grade customers, including
major integrated oil companies, refiners and marketers. The
Partnership’s principal assets include a network of crude oil
terminals that facilitate the transportation of heavy crude oil
from Western Canada to key demand centers across North America. The
Partnership’s operations include railcar loading and unloading,
storage and blending in on-site tanks, inbound and outbound
pipeline connectivity, truck transloading, as well as other related
logistics services. In addition, the Partnership provides customers
with leased railcars and fleet services to facilitate the
transportation of liquid hydrocarbons and biofuels by rail.
USD, which owns the general partner of USD Partners LP, is
engaged in designing, developing, owning, and managing large-scale
multi-modal logistics centers and energy-related infrastructure
across North America. USD’s solutions create flexible market access
for customers in significant growth areas and key demand centers,
including Western Canada, the U.S. Gulf Coast and Mexico. Among
other projects, USD is currently pursuing the development of a
premier energy logistics terminal on the Houston Ship Channel with
capacity for substantial tank storage, multiple docks (including
barge and deepwater), inbound and outbound pipeline connectivity,
as well as a rail terminal with unit train capabilities. For
additional information, please visit texasdeepwater.com.
Information on websites referenced in this release is not part of
this release.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of U.S. federal securities laws, including statements
with respect to the ability of the Partnership and USD to achieve
contract extensions, new customer agreements and expansions; the
ability of the Partnership to extend, renew or replace its senior
secured credit facility; the ability of the Partnership and USD to
develop existing and future additional projects and expansion
opportunities (including successful completion of USD’s DRU) and
whether those projects and opportunities developed by USD would be
made available for acquisition, or acquired, by the Partnership;
volumes at, and demand for, the Partnership’s terminals; and the
amount and timing of future distribution payments and distribution
growth. Words and phrases such as “expect,” “plan,” “intent,”
“believes,” “projects,” “begin,” “anticipates,” “subject to” and
similar expressions are used to identify such forward-looking
statements. However, the absence of these words does not mean that
a statement is not forward-looking. Forward-looking statements
relating to the Partnership are based on management’s expectations,
estimates and projections about the Partnership, its interests and
the energy industry in general on the date this press release was
issued. These statements are not guarantees of future performance
and involve certain risks, uncertainties and assumptions that are
difficult to predict. Therefore, actual outcomes and results may
differ materially from what is expressed or forecast in such
forward-looking statements. Factors that could cause actual results
or events to differ materially from those described in the
forward-looking statements include the Partnership’s ability to
enter into new contracts for uncontracted capacity and to renew
expiring contracts and changes in general economic conditions and
commodity prices, as well as those factors set forth under the
heading “Risk Factors” and elsewhere in the Partnership’s most
recent Annual Report on Form 10-K and in the Partnership’s
subsequent filings with the Securities and Exchange Commission
(many of which may be amplified by the COVID-19 pandemic and the
recent significant reductions in demand for and prices of crude
oil, natural gas and natural gas liquids). The Partnership is under
no obligation (and expressly disclaims any such obligation) to
update or alter its forward-looking statements, whether as a result
of new information, future events or otherwise, except as required
by law.
Category: Operations
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version on businesswire.com: https://www.businesswire.com/news/home/20230403005795/en/
Adam Altsuler Executive Vice President, Chief Financial Officer
(281) 291-3995 aaltsuler@usdg.com
Jennifer Waller Sr. Director, Financial Reporting and Investor
Relations (832) 991-8383 jwaller@usdg.com
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