As part of the transaction, BreitBurn Energy Partners (the partnership) will acquire a 100% interest in BreitBurn GP, the general partner of the partnership.
The partnership acquired 14.40 million limited partnership units owned by Provident. These units have been retired and are no longer outstanding.
The company has announced that three directors, Randall Findlay, Thomas Buchanan and Grant Billing have resigned from the BreitBurn GP board. The remaining six members include all three members of the conflicts committee, who independently reviewed and approved the acquisition and restructuring transactions.
Hal Washburn, co-CEO of BreitBurn, said: We are pleased that the partnership was able to reach this agreement with provident and remove the ongoing uncertainties surrounding the sale of Provident’s interests in BreitBurn. Given the opportunity, the partnership was able to take advantage of its financial flexibility, the recent weakness in the market price of partnership units, and the fact that commodity prices were at all-time highs.
