Buckeye Partners acquires 80% interest in Bahamas Oil Refining

Buckeye Partners has acquired an 80% interest in FR Borco Coop Holdings (FRBCH), the indirect owner of Bahamas Oil Refining Company International (BORCO), from affiliates of FRC Founders Corp (First Reserve) for $1.36bn.

Vopak Bahamas has elected to exercise its right to sell its interest to Buckeye at the same proportionate price and on the same terms and conditions as those in Buckeye’s agreement with First Reserve.

Vopak Bahamas owns the remaining 20% of FRBCH.

Buckeye anticipates the purchase of Vopak’s interest to be completed once the definitive documentation is executed and the closing conditions are satisfied, according to the company.

Buckeye will pay $1.7bn in a combination of cash and equity to acquire 100% of BORCO.