Martin Midstream Partners LP (NASDAQ: MMLP) announced Feb. 5 that it plans to sell certain NGL Marine equipment for $41.25 million.
Martin Midstream, based in Kilgore, Texas, said its subsidiary, Martin Operating Partnership LP, entered into a definitive agreement to sell six liquefied petroleum pressure barges.
The company has chosen to exit the NGL floating storage and trans-loading businesses, having been involved in such since the purchase of these barges in early 2013.
All proceeds from the divestiture will be used to repay outstanding indebtedness under its revolving credit facility.
In addition, management expects the divestiture to have a positive impact on distributable cash flow, the company said.
The barges, which were part of the natural gas services segment as floating storage, generated negative cash flow in 2014.
The sale is expected to be completed before the end of February.
Recommended Reading
Oil, Gas and M&A: Banks ‘Hungry’ to Put Capital to Work
2025-01-29 - U.S. energy bankers see capital, generalist investors and even an appetite for IPOs returning to the upstream space.
Riverstone’s Leuschen Plans to IPO Methane-Mitigation-Focused SPAC
2025-01-21 - The SPAC will be Riverstone Holdings co-founder David Leuschen’s eighth, following the Permian Basin’s Centennial Resources, the Anadarko’s Alta Mesa Holdings and the Montney’s Hammerhead Resources.
The Private Equity Puzzle: Rebuilding Portfolios After M&A Craze
2025-01-28 - In the Haynesville, Delaware and Utica, Post Oak Energy Capital is supporting companies determined to make a profitable footprint.
Artificial Lift Firm Flowco Seeks ~$2B Valuation with IPO
2025-01-07 - U.S. artificial lift services provider Flowco Holdings is planning an IPO that could value the company at about $2 billion, according to regulatory filings.
Utica Oil E&P Infinity Natural Resources’ IPO Gains 7 More Bankers
2024-11-27 - Infinity Natural Resources’ IPO is expected to provide a first-look at the public market’s valuation of the Utica oil play.