By OGJ editors
HOUSTON, Jan. 25 -- Buckeye Partners LP, Emmaus, Pa., plans to acquire a products pipeline system and a stake in five products terminals from ExxonMobil Corp. affiliates.
The pipeline system delivers products from Valero Energy Corp.'s 166,000-b/cd refinery in Paulsboro, NJ, to destinations in New Jersey, Pennsylvania, and New York.
Subject to regulatory approvals, the transactions are expected to close during the first half. Although news releases didn't report a transaction value, in a US Securities & Exchange Commission document, Buckeye listed a total value of $180 million.
The assets to be acquired include:
-- The Malvern to New York system, which includes 154 miles of 8-in. pipeline and 222 miles of 6-in. pipeline extending from ExxonMobil's Malvern Station in Chester County, Pa., to terminals in Pennsylvania and New York.
-- The Malvern to Harrisburg system, 75 miles of pipeline of various diameters extending to central Pennsylvania.
-- The Paulsboro to Malvern system, which includes 24 miles of 12-in. pipeline extending from ExxonMobil's Paulsboro Station in Gloucester County, NJ, to its Malvern station and storage tanks in Chester County, Pa.
-- The Paulsboro to Philadelphia Airport jet system, an 8-in. pipeline extending less than 3 miles from ExxonMobil's Paulsboro Station to the Philadelphia Airport.
-- The Paulsboro to Colonial System, which includes less than a mile of 12-in. pipe extending from the Valero Paulsboro Refinery in Gloucester County, NJ, to the Colonial Pipeline junction in Gloucester County, NJ.
-- Petroleum products terminals in Malvern, Pa., and in Binghamton, Rochester, and Buffalo, NY, and a 50% interest in a terminal near Syracuse, NY.
Previously, Buckeye bought five product pipelines and 24 terminals in the US Midwest from Shell Oil Products US for $517 million (OGJ, Oct. 11, 2004, p. 30).
