Chevron sells stake in Colonial pipeline
Chevron Pipe Line Co. sold its 23.44% ownership interest in the Colonial Pipeline Co. to an affiliate of Kohlberg Kravis Roberts & Co. LP.
Christopher E. Smith
OGJ Pipeline Editor
HOUSTON, Oct. 12 -- Chevron Pipe Line Co. sold its 23.44% ownership interest in the Colonial Pipeline Co. to an affiliate of Kohlberg Kravis Roberts & Co. LP. The sale closed Oct. 8, and follows Chevron’s March announcement that it would sell its share in Colonial as part of realigning its assets.
The 5,500-mile Colonial pipeline system delivers an average 2.4 million b/d of products from supply centers on the Gulf Coast to the eastern seaboard.
Colonial in 2009 indefinitely delayed a proposed expansion between Jackson, La., and Austell, Ga., citing weakened consumer demand for petroleum products (OGJ, Feb. 15, 2010, p. 44).
Other Colonial shareholders are Koch 28.09%, ConocoPhillips 16.55%, Royal Dutch Shell 16.12%, and IFM 15.8%.
Contact Christopher E. Smith at email@example.com.