SAN ANTONIO–(BUSINESS WIRE)–NuStar Energy L.P. (NYSE: NS) today announced plans to
sell its St. Eustatius Terminal, reported the company’s first quarter
2019 earnings results and reviewed NuStar’s growth and growth projects,
in the Permian and across its system.
“Today, we are pleased to announce that we have signed a definitive
stock purchase agreement to sell our storage terminal facility located
at St. Eustatius in the Caribbean to Prostar Capital for approximately
$250 million, subject to adjustment,” said Brad Barron, president and
chief executive officer of NuStar Energy L.P.
“It has become increasingly clear in recent months that the facility
requires a new business model to ensure its long-term success and that
NuStar’s best path forward is to sell the terminal to a buyer that is
well-positioned to take advantage of the changing global crude oil trade
flow patterns,” said Barron.
“We are pleased that this sale allows us to re-deploy the sales proceeds
to improve our financial metrics and fund our growth projects for our
core business in North America. And we are very gratified to hand over
the reins to purchasers with a business model that ensures a bright
future for the facility and our employees there.”
“We are excited to be acquiring a high-quality terminal facility with
many key strategic advantages, including a location at the crossroads of
global and regional oil trade, long-term customer relationships with
major global oil traders, a strong local operations team, and a highly
flexible infrastructure that allows for capacity expansion as growth
opportunities arise,” said Steve Bickerton, Senior Managing Director of
“We expect to close this transaction by the end of the second quarter,
and we look forward to focusing all of our resources on strengthening
our financial metrics to generate stable, consistent growth for our
unitholders,” said Barron.
About NuStar Energy L.P.
NuStar Energy L.P., a publicly traded master limited partnership based
in San Antonio, is one of the largest independent liquids terminal and
pipeline operators in the nation. NuStar currently has approximately
9,800 miles of pipeline and 75 terminal and storage facilities that
store and distribute crude oil, refined products and specialty liquids.
The partnership’s combined system has more than 88 million barrels of
storage capacity, and NuStar has operations in the United States,
Canada, Mexico and St. Eustatius in the Caribbean. For more information,
visit NuStar Energy L.P.’s website at www.nustarenergy.com.
About Prostar Capital
Prostar Capital is a private investment firm established in 2012 to
invest in global midstream energy infrastructure assets that it believes
are strategically positioned to serve growing global energy demand. The
firm invests in assets that are focused on the gathering, processing,
storage, transmission and distribution of energy. Prostar operates from
offices in Sydney, Hong Kong and Greenwich, Connecticut.
Cautionary Statement Regarding
This press release includes, and the related conference call will
include, forward-looking statements regarding future events, such as the
partnership’s future performance. All forward-looking statements are
based on the partnership’s beliefs as well as assumptions made by and
information currently available to the partnership. These statements
reflect the partnership’s current views with respect to future events
and are subject to various risks, uncertainties and assumptions. These
risks, uncertainties and assumptions are discussed in NuStar Energy
L.P.’s 2018 annual report on Form 10-K and subsequent filings with the
Securities and Exchange Commission. Actual results may differ materially
from those described in the forward-looking statements.
NuStar Energy, L.P., San Antonio
Investors, Tim Delagarza, Manager,
Investor Relations: 210-918-INVR (4687)
Mary Rose Brown, Executive Vice President and Chief Administrative
Corporate Communications: 210-918-2314