The acquired assets include seven push boats and 17 barges that transport asphalt, bunker fuel and other oil products that require heated barges to storage facilities and refineries along the Mississippi, Illinois and Ohio rivers, as well as the Intracoastal Waterway.
Included in the transaction are two additional boats currently under construction which are scheduled for delivery in 2008. Along with the assets, Teppco Marine also acquired the economic benefit of certain related commercial agreements.
Jerry Thompson, president and CEO of the general partner of Teppco, said: This transaction complements our existing marine transportation business and will further strengthen Teppco’s ability to capitalize on the growing demand for barge services to deliver crude oil, refined products and feedstocks.
The acquisition is consistent with our stated goal of expanding our newly created marine transportation segment through acquisitions and organic growth initiatives and also complements our strategy of developing a comprehensive network of product distribution terminals along the nation’s inland waterway system.
