Martin Midstream Partners has announced plans to sell its interests in Arcadia Gas Storage, Cadeville Gas Storage, Monroe Gas Storage and Perryville Gas Storage to Hartree Bulk Storage for $215 million.
The natural gas storage assets comprise 50 billion cubic feet of working capacity in northern Louisiana and Mississippi. The transaction is expected to close around the second quarter 2019.
Ruben Martin, president and CEO of Martin Midstream, says: 'Our agreement to sell the natural gas storage assets is an important piece of the partnership's strategy to strengthen the balance sheet and re-focus our operational expertise on the refinery services industry.'
Co-founder of Hartree Partners Steve Semlitz adds: 'We are excited about the opportunity for Hartree Bulk Storage to acquire the natural gas storage assets and operate them as independent facilities.
'The natural gas storage assets are high-performing facilities strategically located in the Gulf Coast. Hartree Bulk Storage plans on further optimizing these facilities and their capabilities in the near-term, to better serve customers in the ever-growing Gulf Coast region.'