DCP Midstream Partners has acquired all of the ownership interests of Marysville Hydrocarbon Holdings for $95m plus inventory and other working capital of about $6m to expand its propane business in Michigan.
Marysville Hydrocarbon Holdings owns and operates a propane and butane storage facility in Marysville.
The storage facility includes nine underground salt caverns with 285 million gallons of storage capacity and 620-acre site including 300 undeveloped acres.
The facility also includes rail, truck and pipeline connections providing a key supply point for refiners and wholesale propane distributors in the Midwest, Sarnia and Northeast US markets.
DCP Midstream believes that the storage facility has expansion potential through the development of two additional underground salt caverns.