November 2, 2011 [OPIS] - Waltham, Massachusetts based Global Partners LP will be wholesaling gasoline and distillate in Texas next month, sources confirm. The expansion is the latest in a series of quiet moves that have seen the regional northeast supplier begin to offer transportation fuels in selected southeastern and midwest locations.
Executives are clearly looking to establish a broader footprint for unbranded and merchant sales, even though the firm’s asset base is concentrated in middle Atlantic and New England states.
Sources say that rack gasoline and distillate should be available in Houston, Pasadena, and San Antonio, Texas at some point in early December. There is no word yet on terminals where Global will pursue those sales via exchanges or throughputs, but the company has been looking for a Texas sales rep to sign up rack customers. It is also searching for a coordinator of the expanded sales that would work out of its Waltham, Massachusetts headquarters.
Supply shouldn’t be a problem, OPIS is told. The company purchases fuel from most major and independent refiners, and is one of the largest ExxonMobil customers.
In recent months, Global has initiated rack sales in South Carolina, Ohio, and Tennessee and is looking at other potential locations for expansion, sources say.
Mergers & acquisitions specialists say that Global has eyed terminals outside of its core northeastern markets for some time, but it has yet to pull the trigger on a deal. Establishing some legacy marketing in additional locations could help the effort to find assets around which to sell products.
The company says that interested customers can contact the sales department at 1-800-685-7222.