HOUSTON — Shell Pipeline Company LP and Triton West LLC, respective subsidiaries of Shell USA, Inc. (Shell), have agreed to sell their 100% interest in the Sinco pipeline system and Colex terminal to a subsidiary of Edgewater Midstream LLC (Edgewater), pending regulatory approval.
“This sale follows our guidance at Shell´s Capital Markets Day to continue to simplify our portfolio as we seek to deliver more value, with less emissions,” said Andrew Smith, Shell Executive Vice President Trading & Supply. “After the completion of the sale of Shell’s equity in Deer Park Refinery, these assets are non-integrated and no longer fit within Shell´s Powering Progress strategy. This transaction enables re-deployment of capital to other projects that will do so.”
The sale of both assets is expected to be completed in Q4 2024.
The Sinco pipeline system and the Colex terminal are located in the Houston Ship Channel area and have historically been operated as integrated assets with the Deer Park Refinery.
In 2022, Shell completed the sale of its equity share in the Deer Park Refinery to Pemex, rendering the Sinco pipeline and the Colex terminal non-strategic and non-integrated.
Both Shell Pipeline Company LP and Triton West LLC are subsidiaries of Shell and own 100% of Sinco pipeline system and Colex terminal, respectively.
Edgewater focuses on the acquisition, development and operation of pipelines and terminals in proximity to major North American petroleum trading hubs and demand centers, primarily in coastal markets.
Shell Pipeline Company LP transports over 1.5 billion barrels of oil annually through its vast network of pipelines and tank farms, ensuring reliable delivery of essential products like crude oil, gasoline, and chemicals.
The U.S. is a key market for Shell, where it has interests in 50 states and employs more than 13,000 people who work to provide a secure supply of energy today, while tackling the energy challenges of the future. Shell’s U.S. portfolio of operated companies and interests consists of oil, natural gas, petrochemicals, lubricants, and refined fuel products along with renewables such as wind, solar, and mobility segments like electric vehicle charging.
Source: Shell USA