Enterprise Products Partners and Oiltanking Partners today announced they had entered into a merger agreement. Enterprise proposed the merger last month when it acquired the general partner of Oiltanking for $4.4 billion. Enterprise will have paid a total of $6 billion upon completion of the merger, which is expected in early 2015.
Enterprise CEO Michael Creel said the combination of its midstream assets and Oiltanking’s access to waterborne markets and storage assets would strengthen Enterprise’s midstream services business.
Oiltanking owns marine terminals on the Houston Ship Channel and at the Port of Beaumont. The Houston Ship Channel terminal is connected to Enterprise’s Mont Belvieu, Texas, facility and its LPG export, octane enhancement and propylene businesses.
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