June 9, 2016 [OPIS] - Enterprise Products has entered into an agreement to sell its Bakersfield, Calif., LPG rail terminal to United Pacific Energy, and will reportedly sell two other LPG terminals, one in Rocklin, Calif., and one in Reno, Nev., to Kiva Energy.
Both United Pacific and Kiva are large California propane wholesalers.
United Pacific said the Bakersfield facility will complement its existing asset base, and will be a valuable link in the supply chain for fueling its customer network in the San Joaquin Valley and in Southern California.
United Pacific’s pending purchase of the Bakersfield terminal comes with a backstory: The late, former father-in-law of United Pacific owner David Humphreys built the original terminal under Coast Gas in the late 1970s. In the mid-1990s, Cornerstone Propane, later renamed Coast Energy Group, purchased the plant. Enterprise then bought the plant in 2002.
United Pacific, which owns and operates a fleet of LPG trucks and rail cars, operates a terminal in Northern California and is a partner with Sheldon Gas in a San Francisco Bay Area LPG terminal, will close the Bakersfield deal within a few weeks.
Details of Kiva’s reported plans to purchase the Rocklin and Reno LPG terminals from Enterprise were unclear.
Neither Kiva nor Enterprise could be reached for comment.
