SUNOCO LOGISTICS PARTNERS L.P. COMPLETES ACQUISITION OF THE MAGTEX PIPELINE SYSTEM FROM EXXONMOBIL
PHILADELPHIA, November 18, 2008 -- Sunoco Logistics Partners L.P. (NYSE: SXL),
announced today that it has completed its previously announced acquisition of the MagTex
refined products pipeline system located in Texas from affiliates of Exxon Mobil Corporation.
The terms of the original purchase agreements have been amended to provide for potential
adjustments, based on actual volumes, to the purchase price, tariff rates and ExxonMobil’s
throughput commitments.
The transaction is expected to be immediately accretive to cash available for distribution
to the Partnership’s limited partners. As previously announced, the Partnership’s general partner
has agreed to reduce its cash distributions attributable to its incentive distribution rights by $5.5
million over 4 years to support the transaction. The Partnership funded the acquisition from its
revolving credit facility.
“We are very excited to have completed this acquisition which enables expansion of our
refined product pipeline and terminals platform into the U.S. Gulf Coast where we already have
an extensive crude oil storage and distribution presence. We anticipate excellent future growth
opportunities associated with this acquisition,” said Deborah M. Fretz, President and Chief
Executive Officer.
Sunoco Logistics Partners L.P. (NYSE: SXL), headquartered in Philadelphia, is a master
limited partnership formed to acquire, own and operate refined product and crude oil pipelines and
terminal facilities, including those of Sunoco, Inc. The Eastern Pipeline System consists of
approximately 1,800 miles of primarily refined product pipelines and interests in four refined
products pipelines, consisting of a 9.4 percent interest in Explorer Pipeline Company, a 31.5
percent interest in Wolverine Pipe Line Company, a 12.3 percent interest in West Shore Pipe Line
Company and a 14.0 percent interest in Yellowstone Pipe Line Company. The Terminal Facilities
consist of 9.2 million shell barrels of refined product terminal capacity and 23.4 million shell
barrels of crude oil terminal capacity (including 16.5 million shell barrels of capacity at the Texas
Gulf Coast Nederland Terminal). The Western Pipeline System consists of approximately 3,700
miles of crude oil pipelines, located principally in Oklahoma and Texas, a 55.3 percent interest in
Mid-Valley Pipeline Company and a 43.8 percent interest in the West Texas Gulf Pipe Line
Company and a 37.0 percent interest in the Mesa Pipe Line System. For additional information visit
Sunoco Logistics’ web site at www.sunocologistics.com.
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