Skip to main content
  4. Murphy to sell its CAM pipeline system

Murphy to sell its CAM pipeline system

 

Published by
 World Pipelines,

Murphy USA Inc. has announced that it has recently entered into an agreement with an undisclosed investment-grade buyer for the sale of the CAM pipeline system for approximately US$85 million, less customary closing costs.

The pipeline

The CAM pipeline transports crude oil from the Louisiana Offshore Oil Port (LOOP) to three Gulf Coast refineries, including the Meraux refinery, formerly owned by Murphy Oil Corporation. This transaction is expected to close sometime in 1H16, subject to customary closing conditions, including regulatory approvals.

Comments

President and CEO Andrew Clyde commented, "The strategic value of the CAM system has increased significantly with the successful development of onshore oil-shale in conjunction with enhanced economics and optionality for refiners in the current price environment." Clyde went on to say, "We are excited to execute on our last meaningful non-core asset inherited from the spinoff in 2013, the proceeds of which will free up capital that can be used to help fund our independent growth plan, including our recently announced US$500 million share repurchase programme."

Edited from source by Stephanie Roker

 

BridgeTex Pipeline extends open season

Magellan Midstream Partners and Plains All American Pipeline has announced that their jointly owned company – BridgeTex Pipeline – has extended its open season to 15 February for new Eaglebine origin.

Enbridge acquires natural gas assets

Enbridge has acquired natural gas assets – gas plants and pipelines in northeast British Columbia, Canada – from Murphy Oil Corporation for CAN$538 million.

TransCanada moves forward after Keystone XL rejection

TransCanada is attempting to make headway in the oil refinery complex with its Houston Lateral pipeline and terminal, after President Obama rejected the Keystone XL pipeline expansion project.