Shell Pipeline Company LP and Triton West LLC, respective subsidiaries of Shell USA, Inc. (Shell), have agreed to sell their 100% interest in the Sinco pipeline system and Colex terminal to a subsidiary of Edgewater Midstream LLC (Edgewater), pending regulatory approval.
"This sale follows our guidance at Shell's Capital Markets Day to continue to simplify our portfolio as we seek to deliver more value, with less emissions," said Andrew Smith, Shell Executive Vice President Trading & Supply. "After the completion of the sale of Shell's equity in Deer Park Refinery, these assets are non-integrated and no longer fit within Shell's Powering Progress strategy. This transaction enables re-deployment of capital to other projects that will do so."
The sale of both assets is expected to be completed in Q4 2024.
The Sinco pipeline system and the Colex terminal are located in the Houston Ship Channel area and have historically been operated as integrated assets with the Deer Park Refinery.
In 2022, Shell completed the sale of its equity share in the Deer Park Refinery to Pemex, rendering the Sinco pipeline and the Colex terminal non-strategic and non-integrated.
