BP Divests Stake in Alaska Pipeline
Harvest Alaska (Harvest) has acquired BP Pipelines (Alaska) Inc.’s (NYSE: BP) midstream ownership interests, parent company Harvest Midstream reported late last week.
The deal, which received approval from the Regulatory Commission of Alaska on Dec. 14, immediately gives Harvest ownership of BP’s approximately 49-percent interest in the Trans-Alaska Pipeline System (TAPS) and 49 percent of Alyeska Service Co. and other Alaska midstream interests, Harvest Midstream noted in a written statement. The parent firm added that Alyeska will continue to operate TAPS as it has for decades.
“The completion of this acquisition is a critical milestone for Harvest,” remarked Harvest Midstream CEO Jason Rebrook. “TAPS is an icon of American ingenuity and has a proven track record of safe and responsible operations with strong relationships in the communities it touches. We are committed to positively building upon this great legacy and we look forward to partnering with Alyeska, other TAPS owners and the State of Alaska for years to come.”
The 800-mile (1,287-kilometer) TAPS transports North Slope oil from the Prudhoe Bay oilfield to the Valdez Marine Terminal, boasting a capacity of approximately 1.1 million barrels per day, Harvest Midstream stated.
“Harvest has achieved several significant milestones this year including this historic acquisition as well as our first public bond offering, raising $600 million in new capital,” noted Rebrook. “I’m proud of our team for their hard work and look forward to continuing to build Harvest together as a leading midstream operator in Alaska for years to come.”
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