A total of 15 refined products terminals have been acquired by Kinder Morgan from BP Products North America.
The terminals are key distribution facilities for major refined products consuming markets and have approximately 9.5 million barrels of storage.
Kinder Morgan and BP Products North America have also formed a joint venture limited liability company terminal business to own 14 of the acquired assets, which Kinder Morgan will operate and market on the joint venture’s behalf.
The 15th terminal will be owned and operated solely by Kinder Morgan.
Kinder Morgan owns a 75% interest in the joint venture and BP owns the balance. The transaction is valued at around $350 million and includes approximately 160 former BP employees.
John Schlosser, president of Kinder Morgan, says: ‘By combining BP’s expertise in product trading and marketing with Kinder Morgan’s strength in operations and terminal development, the joint venture is well suited to take advantage of growth opportunities in high-demand refined petroleum products markets.