TransMontaigne enters into terminaling services agreement with Morgan Stanley

June 1, 2007
TransMontaigne Partners LP has entered into a terminaling services agreement with Morgan Stanley Capital Group Inc that replaces its existing terminaling

TransMontaigne Partners LP has entered into a terminaling services agreement with Morgan Stanley Capital Group Inc that replaces its existing terminaling services agreement with TransMontaigne Inc relating to the partnership's Florida, Mt Vernon MO, and Rogers AR terminals.

This terminaling services agreement with Morgan Stanley Capital Group commences June 1, 2007 and has a seven-year term expiring May 31, 2014. Under this agreement, Morgan Stanley Capital Group has agreed to throughput a volume of refined product that will result in minimum throughput payments to the partnership of approximately $30 million for the contract year ending May 31, 2008, with stipulated annual increases in throughput payments each contract year thereafter.

The agreement provides for:

  • Cconstruction of about 0.3 million and 0.9 million barrels of additional tank storage capacity at the partnership's Tampa and Port Everglades terminals, respectively, for the storage of light oil products, heavy oil products, and renewable fuels;

  • Conversion of certain existing tank storage capacity at the partnership's Tampa and Port Everglades terminals to accommodate the storage of renewable fuels.

  • Replacement and upgrade of existing truck loading rack facilities at the partnership's Tampa terminal.

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