Akin Gump Advises Vitol Group in Acquisition of Permian Basin Crude Platform
(Houston) – Sunoco Logistics Partners L.P. (the partnership) and the Vitol Group today announced the partnership’s strategic acquisition of Vitol’s Permian Basin crude oil system. The partnership entered into an agreement with Vitol Inc. to purchase an integrated crude oil business in West Texas for approximately $760 million plus working capital. Akin Gump advised Vitol in the matter.
The acquisition provides the partnership with an approximately two million barrel crude oil terminal in Midland, Texas; a crude oil gathering and mainline pipeline system in the Midland Basin, including a significant acreage dedication from an investment grade Permian producer; and crude oil inventories related to Vitol’s crude oil purchasing and marketing business in West Texas. The acquisition also includes the purchase of a 50 percent interest in SunVit Pipeline LLC, which results in the partnership owning all of the membership interests in SunVit. SunVit connects the Midland terminal to the partnership’s Permian Express 2 pipeline, a key takeaway to bring Permian crude oil to multiple markets.
The deal is expected to close in the fourth quarter of 2016, subject to certain closing conditions and regulatory approval.
The Akin Gump deal team included the following individuals:
William Flynn, counsel
Eduardo Canales, associate
Michael Gerald, senior counsel
Brian Patterson, counsel
Paul Hewitt, partner
Stacy Kobrick, senior attorney
Alison Chen, partner
David Quigley, partner
Andrew Oelz, senior counsel
Founded in 1945, Akin Gump Strauss Hauer & Feld LLP is a leading international law firm with more than 900 lawyers in offices throughout the United States, Europe, Asia and the Middle East.
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