TransMontaigne Partners LP closed its acquisition of terminal facilities on the California coast from a Plains All American Pipeline LP affiliate, according to a Dec. 18 news release.
The facilities are the Martinez and Richmond waterborne refined product and crude oil terminals, which have 64 storage tanks with about 5.4 million barrels of storage capacity. The assets are underpinned by fee-based agreements with terms of up to five years and expand TransMontaigne's footprint into the San Francisco Bay Area refining complex.
Plains will continue to operate the terminals on behalf of TransMontaigne until TransMontaigne receives permits and approvals to operate the terminal, expected by end of February 2018.
The acquisition was funded with borrowings under the partnership's revolving credit facility. TransMontaigne also amended its revolving credit facility, increasing lender commitments from $600 million to $850 million, following the closing of the acquisition. Lender commitments can also be further increased to $1.1 billion under certain conditions.