May 25, 2013 [Biz Journal] - Tesoro Corp. will sell some of the storage infrastructure it acquires through its takeover of BP Plc’s Carson, Calif., refinery to Tesoro Logistics LP, a partnership it formed in 2011 to develop pipelines and other oil-logistics assets.
The infrastructure includes six storage terminals with total capacity of 6.4 million barrels, including 4.5 million barrels which are dedicated to commercial storage. The combined throughput capacity for the facilities is 224,800 barrels per day.
Tesoro Logistics will buy the infrastructure for $640 million, including $544 million in cash financed with borrowings from the partnership’s revolving credit facility.
The deal is expected to close in the second quarter of 2013. The U.S. Federal Trade Commission last week cleared Tesoro Corp. to buy BP’s Carson refinery in Southern California, making it likely the two companies can seal their transaction sometime this quarter.
