The additional interests were bought from Shell Pipeline Co and Gulf Coast Field Services in two separate transactions for a combined purchase price of approximately $4.4 million. The transactions were funded through a combination of cash on hand and loans.
The Atchafalaya Pipeline system originates near Garden City, LA, and traverses east until it reaches its terminus near Gibson, LA. The system is an 8-in diameter crude oil and condensate pipeline with a length of approximately 50km, 45km of which are in active service. It receives crude oil and condensate from ANR Pipeline, CMS Trunkline, and a barge dock in the Patterson, LA, area, and delivers into tankage controlled by PAA at Gibson. In 2002, the system transported approximately 18,100brl/d of crude oil and condensate per day.
PAA acquired its original interest in the system earlier in 2003 as part of its acquisition of a package of assets from an affiliate of El Paso Corp.
This story courtesy of Energy Pipeline News at http://anvilpub.com/energy_pipeline_news.