By February 2, 2016 Read More →

Kinder Morgan buys 15 American terminals, infrastructure from BP

Terminals are located in Midwest, Northeast, Southeast and on West Coast


Kinder Morgan Terminal

Kinder Morgan, Inc. announced Tuesday that it has closed its previously announced plan to acquire 15 refined products terminals from BP Products North America Inc. in a transaction valued at approximately $350 million.

The company said in a press release that the terminals are “key distribution facilities for major refined products consuming markets” and have approximately 9.5 million barrels of storage and associated infrastructure in the United States.

Kinder Morgan and BP Products North America have also formed a joint venture limited liability company (JV) terminal business to own 14 of the acquired assets, which Kinder Morgan will operate and market on the JV’s behalf.

The fifteenth terminal will be owned and operated solely by KMI. In connection with the transaction, BP has entered into commercial agreements securing long-term storage and throughput capacity from the JV, which will market additional capacity to third-party customers.

Kinder Morgan owns a 75 per cent interest in the JV, with BP owning the balance. This investment is included in Kinder Morgan’s 2016 capital plan as discussed in its Jan. 27 investor conference.


John Schlosser is president of Kinder Morgan Terminals

“We are pleased to close the transaction we announced last Oct. and partner with BP on this exciting joint venture,” said John Schlosser, president of Kinder Morgan Terminals.

“By combining BP’s expertise in product trading and marketing with Kinder Morgan’s strength in operations and terminal development, the JV is well suited to take advantage of growth opportunities in high-demand refined petroleum products markets.

The terminals are connected by pipeline to key refining and processing centers across the United States, and offer extensive truck, vessel and barge access, and terminal service capabilities, according to Kinder Morgan.

The terminals are located in the Midwest, Northeast, Southeast and on the West Coast at: Rochelle, O’Hare (100 percent Kinder Morgan), Chicago and Wood River in Illinois; Dayton and Cincinnati, Ohio; Brooklyn, New York; Carteret, New Jersey; Curtis Bay, Maryland; Port Everglades, Florida; Atlanta and Doraville, Georgia; Indianapolis, Indiana; Spring Valley, Minnesota; and Richmond, California.

The transaction includes approximately 160 former BP employees.

Kinder Morgan, Inc. is the largest energy infrastructure company in North America. It owns an interest in or operates approximately 84,000 miles of pipelines and approximately 180 terminals.

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