San Antonio-based pipeline and terminal operator NuStar Energy LP closed last week on a $60 million sale of a storage terminal to EverWind Fuels, according to a Friday announcement.
The company announced the sale of the terminal, which holds 7.8 million barrels of storage in crude oil and petroleum, in February. It is near Port Hawkesbury, Nova Scotia.
NuStar took an $11 million hit during winter storm Uri in February 2021, though its 2021 first quarter remained profitable at a reported $42.3 million. The company also suffered a $200 million net loss in 2020 due to pandemic-related challenges that faced the oil and gas industry.
Brad Barron, president and CEO of NuStar, said the sale was a strong forward step for the company as it pivots to focus on paying down debt and improving its financial position. He added that NuStar intends to fund spending in 2022 entirely from internally generated cash flow, as it did in 2021.
Seller NuStar operates in the United States, Canada and Mexico and owns approximately 10,000 miles of pipeline and 64 terminal and storage facilities for crude oil, renewable fuels, refined products, ammonia and specialty liquids. The combined storage capacity of these facilities is 57 million barrels.
Buyer EverWind Fuels, a private producer of hydrogen and ammonia, owns storage facilities and other assets and is a subsidiary of Houston-based TDL Partners.
