Houston’s USD Partners will spend $225 million to buy a crude-to-rail loading terminal and related assets in Casper, Wyoming.
Under the deal, the Houston company, a master limited partnership that develops and buys energy-related rail terminals and related midstream businesses, will get a rail terminal with 100,000 barrels per day of loading capacity, storage tanks and a six-mile pipeline that has a direct connection from Spectra Energy Partner’s Express oil pipeline, which runs from Hardisty, Alberta, to Casper, Wyoming.
USD Partners is buying the assets from Stonepeak Infrastructure Partners, Cogent Energy Solutions and the Granite Peak Group.
“The terminal’s high-quality customer base and strategic location ensure competitive, sustainable market access, as well as provide an additional platform for heavy crude oil solutions,” USD Partners CEO Dan Borgen said in a statement.
This is company’s first deal since it went public last October. It now owns a crude-by-rail terminal in Hardisty and two ethanol rail terminals, on in San Antonio and the other in West Colton, Calif.
The deal was announced after the close of market Monday.