Enterprise acquires Oiltanking Partners, discusses merger

Enterprise Products Partners LP acquired Oiltanking Partners and proposed a merger between the two companies. According to a press release, the acquisition and merger would cost Enterprise about $6 billion.

Oiltanking Partners owns marine terminals on the Houston Ship Channel and the Port of Beaumont (Texas) with 12 ship and barge docks. It also has about 24 million barrels of crude oil and petroleum products storage capacity on the Texas Gulf Coast.

Oiltanking Partners’ marine terminal on the Houston Ship Channel is connected with Enterprise’s Mont Belvieu facility and central to its LP gas export operations, Enterprise adds.

In addition, Enterprise says it is Oiltanking Partners’ largest customer, representing about 30 percent of Oiltanking Partners’ 2013 revenue. The midstream company says it has loaded or unloaded more than 3,500 ships with more than 600 million barrels of LP gas across Oiltanking Partners’ docks over the past 31 years.