(Houston – May 2, 2006) Plains All American Pipeline, L.P. (NYSE: PAA) announced today it has completed the various acquisition transactions and the direct equity placement referenced in its press release of April 19, 2006.
Specifically, the Partnership or its subsidiaries or affiliates have closed four acquisitions for an aggregate purchase price of $146 million, including $36 million of crude oil and natural gas inventory, as follows:
(1)the remaining 85% interest in the Cactus Lake crude oil and diluent pipelines in Canada;
(2) an additional 9.5% interest in the PAA-operated Mesa Pipeline System in West Texas;
(3) crude oil gathering and transportation assets and related contracts in South Louisiana; and
(4) the acquisition by a subsidiary of PAA/Vulcan Gas Storage, LLC of the Kimball natural gas storage facility in Michigan.
The Partnership also completed the sale of the remaining 1.2 million common units to a group of institutional investors pursuant to the Common Unit Purchase Agreement dated March 16, 2006. Net proceeds from the issuance, including the general partner’s proportionate capital contribution and expenses associated with the issuance, were approximately $51 million. The Partnership now has approximately 77.3 million common units outstanding.
Plains All American Pipeline, L.P. is engaged in interstate and intrastate crude oil transportation and crude oil gathering, marketing, terminalling and storage, as well as the marketing and storage of liquefied petroleum gas and other petroleum products, in the United States and Canada. Through its 50% ownership in PAA/Vulcan Gas Storage LLC, the Partnership is also engaged in the development and operation of natural gas storage facilities. The Partnership’s common units are traded on the New York Stock Exchange under the symbol “PAA.” The Partnership is headquartered in Houston, Texas