Sawtooth Caverns acquires Bumstead LPG storage facility

Sawtooth Caverns completed its acquisition of the Bumstead liquefied petroleum gas (LPG) storage facility near Phoenix from Plains LPG Services.

The acquisition represents a significant expansion of Sawtooth’s storage and logistics platform and establishes a second strategically located underground storage facility serving customers throughout the western United States.

Sawtooth currently operates its flagship underground salt cavern storage terminal near Delta, Utah. The Delta facility is strategically connected to major transportation infrastructure, including the Union Pacific rail system and interstate highways, providing access to markets throughout the western United States, Canada and Mexico.

The addition of the Bumstead facility extends that footprint into Arizona and strengthens Sawtooth’s ability to provide customers with flexible, reliable storage and multimodal logistics solutions across key western markets, the company says. The combined facilities will offer more than 10 million barrels of secure natural gas liquids and refined products storage.

“Bumstead is an exceptional strategic fit for Sawtooth,” says Dan Myers, co-CEO of Sawtooth Caverns. “The facility complements our existing operations in Delta and expands our ability to serve customers with critical storage and transloading infrastructure in the western United States. Providing our customers direct access to both UP and BNSF railroads gives them increased optionality and flexibility in their own operations. We are excited about the opportunities created by bringing these two facilities together under the Sawtooth platform.”

The Bumstead facility has served the western U.S. LPG market for decades. Its infrastructure includes underground salt cavern storage as well as rail and truck-loading capabilities. The facility’s location provides an important connection between product supply, transportation networks and growing energy markets throughout Arizona and the broader Southwest. It also offers a delivery platform into Mexico by rail.

The acquisition also brings an experienced team of Bumstead employees to Sawtooth.

“We are pleased to welcome the Bumstead team to Sawtooth,” says Justin Anderson, co-CEO of Sawtooth Caverns. “Their operating experience and knowledge of the facility are a tremendous addition to our team. Our focus is on building upon that expertise while maintaining the strong commitment to safety, reliability and customer service that is fundamental to how Sawtooth operates.”

Sawtooth’s Delta terminal is the largest underground salt cavern storage facility of its kind in the western United States and the only facility of its kind in the West providing underground salt cavern storage for refined petroleum products. The terminal offers storage and handling capabilities for multiple grades of butane and propane, supported by rail and truck infrastructure and an on-site product testing laboratory.

With the addition of Bumstead, Sawtooth is positioned to offer customers a broader network of underground storage and transportation solutions while creating additional opportunities for operational and commercial growth.

“This acquisition represents an important next chapter for Sawtooth,” Myers adds. “We believe the combination of Delta and Bumstead creates a highly differentiated storage platform. Both facilities occupy strategic locations, both provide access to critical transportation infrastructure, and both play an important role in supporting reliable movement and storage of energy products throughout the West.”

Sawtooth plans to continue operating the Bumstead facility while working closely with employees, customers and business partners to ensure a seamless transition.

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