Sunoco Logistics (SXL) to Buy Eagle Point from Sunoco (SUN) in $100M Deal; Also to Acquire Boston Terminal for $56M

June 29, 2011 9:12 AM EDT
Sunoco Logistics Partners L.P. (NYSE: SXL) announced today that it has reached an agreement with Sunoco, Inc. (NYSE: SUN) to purchase the Eagle Point tank farm and related assets, located in Westville, N.J., for approximately $100 million in deferred distribution units. Sunoco Logistics anticipates additional capital spending of approximately $90 million to provide for operational flexibility and to meet regulatory requirements.

In a separate transaction, Sunoco Logistics announced that it has signed a definitive agreement to purchase a refined products terminal located in East Boston, Massachusetts from ConocoPhillips (NYSE: COP) for $56 million plus the fair market value of inventory. This transaction is expected to be financed with borrowings under Sunoco Logistics’ revolving credit facilities pending more permanent financing.

Both transactions are subject to customary closing conditions and are expected to be completed in Q311.

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