PHILADELPHIA, October 10, 2013: Buckeye Partners, L.P., a publicly traded master limited partnership that owns and operates one of the largest independent liquid petroleum products pipeline systems in the U.S., announced that it has signed a definitive agreement with Hess Corporation and its subsidiaries to acquire 20 liquid petroleum products terminals with total storage capacity of approximately 39 million barrels for $850 million. The acquisition, which is subject to regulatory approvals and customary closing conditions, is expected to close before year-end.
The 19 domestic terminals are located primarily in major metropolitan locations along the U.S. East Coast and have approximately 29 million barrels of refined petroleum products storage capacity, including approximately 15 million barrels of capacity strategically located in New York Harbor. The terminal on St. Lucia in the Caribbean has approximately 10 million barrels of crude oil and refined petroleum products storage capacity and has deep-water access.
Morgan Lewis served as Buckeye Partners’ legal adviser on this transaction. The Morgan Lewis deal team was led by Business and Finance partners Benjamin Wills and Howard Meyers and included Business and Finance associates Morgan McDevitt and Conor Larkin. Also assisting on the transaction were Real Estate of counsel Eric Marcuson, Litigation partner Christopher Amandes, who advised on environmental issues, Employee Benefits and Executive Compensation partner Amy Pocino Kelly, Labor and Employment partner Joseph Ragaglia and Tax partner Paul Gordon.