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NEWS BULLETIN
STORAGE TERMINALS
TSA ON ESG
The UK Tank Storage Association (TSA) has formally launched its new Environmental, Social and Governance (ESG) charter, affirming the sector’s shared commitment to ESG principles. The charter has been developed in conjunction with member organisations and is accompanied by a framework designed to help its members develop clear and common policies. “TSA’s members play a vital role in the UK’s economy by providing the critical infrastructure necessary for the transportation of bulk liquids, creating jobs and fostering innovation,” says executive director Peter Davidson. “Through adherence to the Charter, our members affirm their shared commitment to environmental, social and governance principles. Our association continues leading from the front and this, together with our Safety Leadership Charter and Significant Indicators programme, demonstrates our commitment to strive for continuous improvement.” tankstorage.org.uk BLUEKNIGHT OUT OF CRUDE
Blueknight Energy Partners has agreed to sell its crude oil terminalling, pipeline and trucking businesses for $162m cash, repositioning the partnership as a pure-play
downstream terminalling company. The crude oil terminals, including some 6.6m bbl of capacity at the Cushing hub in Oklahoma, are to be acquired by Enbridge, subject to Hart-Scott-Rodino review, with the transaction expected to close by late February. “This announcement represents a significant milestone as we transition Blueknight away from traditional oil and gas operations into a pure-play, downstream terminalling business focused on infrastructure and transportation end markets,” says CEO Andrew Woodward. “We are excited about the financial flexibility to both materially improve our balance sheet and pursue future investment opportunities predicated on risk-adjusted returns while maintaining our long-term financial targets.” Blueknight is owned by affiliates of Ergon and concentrates on asphalt terminalling and logistics. www.bkep.com ZENITH ADDS THREE
Zenith Energy Terminals has acquired Bulk Terminal Storage (BTS) from Guttman Realty. BTS owns three storage in terminals in Ohio, Pennsylvania and West Virginia, acquisition of which will bolster Zenith’s terminal infrastructure in the Marcellus and Utica Shale basins.
“This acquisition further develops our existing network of terminals in key US markets and enables us to promote growth in alternative fuels, addressing two of Zenith’s strategic priorities,” says Jeff Armstrong, president/CEO of Zenith. “We are excited about expanding our relationship with Guttman Energy, one of our key customers. We look forward to implementing our approach to safety and environmental stewardship at our new terminals and leveraging the new storage capacity to support customers with renewable diesel, biofuel and ethanol storage needs. Further to that effort, we are thrilled to work with our new team members to provide the highest quality of service to our customers in the region.” Following the transaction, Guttman has entered into a multi-terminal agreement with Zenith to strengthen and expand its wholesale and commercial fuel distribution business across its mid-Atlantic and east coast marketing area. The 353,000-bbl (56,100-m3) Aurora terminal (below), located between Akron and Cleveland, Ohio, is supplied by a Buckeye pipeline and handles biodiesel, ethanol, gasoline and distillates for the local market in north-east Ohio and western Pennsylvania. The 157,000bbl (25,000-m3) Belle Vernon facility in Pennsylvania received distillates by barge on the Monongahela River, as does the smaller (53,000-bbl) Star City terminal near Morgantown, West Virginia. zenithterminals.com ALL CHANGE AT INTER
Inter Pipeline has announced annual funds from operations in 2020 of C$792m, down 9 per cent on the prior year, with the loss concentrated in its NGL processing and conventional oil pipeline businesses. In contrast, its oil sands transport and bulk liquids storage businesses both posted record levels of income. Inter Terminals, its bulk liquid storage division, generated annual funds from operations of C$129.2m, an increase of C$14.2m over 2019, despite the sale of the larger part of its network in mid-November.
HCB MONTHLY | MARCH 2021
