Global Partners LP (NYSE: GLP) will acquire a crude oil and ethanol facility from Cascade Kelly Holdings LLC for about $95 million.
The facility is located near Portland, Ore., in Clatskanie, Ore. The deal includes a rail facility, 200,000 barrels of storage capacity, a deepwater marine terminal, a dock and an ethanol plant.
The deal will allow Global to supply oil and ethanol to refiners and customers on the west coast.
Waltham, Mass.-based Global owns refined-petroleum products and renewable fuel networks in the Northeast. The company transports products, such as gasoline, from the mid-continent region to the east coast.
Global currently expects to close on its $80 million deal for a 60 percent interest in Basin Transload LLC by the end of the quarter. To finance the acquisitions, the company arranged a $115 million increase in its bank credit facility and has secured a senior unsecured five-year note of up to $70 million from funds managed by GSO Capital Partners LP, the credit arm of the Blackstone Group LP. Basin Transload operates two transloading facilities in North Dakota.
The deal is one of many in the hot energy M&A market. Recently, Frontier Energy Group LLC purchased Canary Wellhead, and Vermillion REP SAS closed a deal for ZaZa Energy Corp.’s (Nasdaq: ZAZA) French assets.