BWC Terminals recently completed the acquisition of NuStar Energy’s terminal in Texas City TX for $106 million.
The sale first was announced Nov. 2.
BWC said the acquisition strengthens its position along the U.S. Gulf Coast and supports its goal of delivering liquid storage solutions across North America in the petrochemical, hydrocarbon, renewable and agriculture markets.
“We are excited to finalize the acquisition of the Texas City NuStar Terminal,” said Michael Suder, CEO of BWC Terminals. “This terminal complements our network of high-quality terminal storage of hydrocarbons, chemicals, renewables and agricultural products across North America. The addition provides increased growth opportunities in the Gulf Coast Region to optimize and further develop our operational capabilities in support of the supply chain needs of our customers.”
Brad Barron, president and CEO of NuStar, said the divestiture allows NuStar to improve its debt metrics.
“While the Texas City terminals are great assets with outstanding operations and employees, the location and unique configuration of these terminals were no longer synergistic with NuStar’s strategies for our other Gulf Coast assets,” Barron said. “For this reason, we determined that the best path forward for the continued success of these facilities and NuStar was to allow them to be acquired by an entity that can take advantage of the terminals’ niche petrochemical and petroleum capabilities. We are pleased that BWC Terminals has just such a business model.
“And the Texas City employees are now a part of a company with a business plan that is better aligned to take advantage of the terminals’ strengths. This should create more growth opportunities for the operations and provide employees with more resources to ensure their continued growth and success as well.”
