During the quarter, Buckeye sold limited partnership shares in a block trade for roughly $210 million, which, in part, was used to fund the merger of VTTI Energy Partners with and into a direct wholly owned subsidiary of VTTI BV, as well as other capital expenses, the company said.
That offering is likely to eliminate the need for additional equity offerings through mid-2018, it said.
Buckeye Partners has a 50% equity interest in VTTI and its marine terminals. It reported Q3 revenue of $922 million, up from $766 million in Q3 2016.
The company transported 1,4 million barrels per day (MMBPD) on domestic pipelines, and 1.25 MMBPD flowed through terminals. Its global marine terminals were at 89% capacity in the quarter.
“Buckeye’s third-quarter financial results highlight the benefits realized through our diversification efforts implemented across our portfolio of fee-based assets,” said chairman, president and CEO Clark C. Smith, in a statement.
The company benefits by that diversification, he said. Buckeye Partners reported its operations in Puerto Rico, the Bahamas, Florida and Texas were all impacted by hurricanes.
It said its Yabucoa terminal in Puerto Rico suffered a direct hit from one of the storms and suffered minor damage. All facilities were returned to operational status within a few days, Buckeye said.
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