Plains All American Pipeline, L.P. (NYSE: PAA)
and PAA Natural Gas Storage (NYSE: PNG)
today announced that they have renewed and extended their principal bank
credit facilities.
PAA's new credit facilities include a $1.6 billion five-year senior
unsecured revolving credit facility and an $850 million two-year senior
secured Hedged Inventory Facility. Both facilities contain accordion
features which permit PAA (subject to receipt of incremental lender
commitments) to increase borrowing capacity to $2.1 billion and $1.35
billion respectively. In connection with these transactions, PAA
terminated a $500 million, 364-day liquidity facility that was scheduled
to expire on January 2, 2012.
PNG's new $450 million five-year senior unsecured credit facility
includes a $200 million Gulf Coast Opportunity Zone ("GO Zone")
tax-exempt term loan and a $250 million revolving credit facility. The
revolver includes an accordion feature which permits PNG (subject to
receipt of incremental lender commitments) to increase the borrowing
capacity to $450 million.
Bank of America, N.A. will serve as Administrative Agent. Merrill Lynch,
Pierce, Fenner & Smith Incorporated served as Joint Lead Arranger for
all three facilities and was joined by BNP Paribas; DnB NOR; J.P.
Morgan; SG Americas Securities, LLC; SunTrust Robinson Humphrey; Wells
Fargo Securities, LLC as Joint Lead Arrangers on one or more of the
facilities.
"We appreciate the continued support from our bank group," said Al
Swanson, Executive Vice President and CFO of Plains All American and PAA
Natural Gas Storage. "The total $2.9 billion raised in these facilities
provide PAA and PNG strong liquidity and financial flexibility with
which to execute our growth plans. We are pleased that PNG was able to
utilize the $200 million tax-exempt GO Zone financing that was acquired
as a part of PNG's acquisition of Southern Pines."
Plains All American Pipeline, L.P. is a publicly-traded master limited
partnership engaged in the transportation, storage, terminalling and
marketing of crude oil, refined products and liquefied petroleum gas and
other natural gas related petroleum products. Through its general
partner interest and majority equity ownership position in PAA Natural
Gas Storage, L.P. (NYSE: PNG), PAA is also engaged in the development
and operation of natural gas storage facilities. PAA is headquartered in
Houston, TX.
PNG is a publicly traded master limited partnership engaged in the
development, acquisition, operation and commercial management of natural
gas storage facilities. The Partnership currently owns and operates
three natural gas storage facilities located in Louisiana, Mississippi
and Michigan. The Partnership's general partner, as well as the majority
of the Partnership's limited partner interests, is owned by Plains All
American Pipeline, L.P. (NYSE: PAA). The Partnership is headquartered in
Houston, TX.
Plains All American Pipeline, L.P.
Roy I. Lamoreaux,
713-646-4222 – 800-564-3036
Director, Investor Relations