Mt. Airy, Louisiana – Pin Oak Terminals, LLC (“Pin Oak” or the “Company”) announced today that it has closed on a debt facility provided by co-lead arrangers Sumitomo Mitsui Banking Corporation (“SMBC”) and ING Capital LLC (“ING”), to complete construction of the current phase of contracted tanks at Pin Oak’s site in Mt. Airy, Louisiana. Combined with the $100 million equity investment that was announced in December 2016 led by Dauphine Midstream, LLC (“Dauphine”) and Mercuria Energy Group Ltd. (“Mercuria”), Pin Oak has secured capital to develop an independent logistics hub to service customers in Louisiana and the U.S. Gulf Coast.
“Closing on this debt facility further confirms the market’s belief that Pin Oak will be a premier storage and logistics facility,” said Mike Reed, Chief Executive Officer of Pin Oak. “Since our announcement of the equity financing in late 2016, we have seen strong interest from customers. Our customers know we will be constructing and operating a premier terminal, and the equity and debt financings further demonstrate that Pin Oak will be a longstanding premier destination on the U.S. Gulf Coast to meet growing demand.”
“This debt facility is a true testament to how well Pin Oak is positioned in the marketplace,” said Harris Ziskroit, Chief Investment Officer of Dauphine. “As the project’s founders, we are excited to be building a world-class facility and maintaining a strong presence in Mt. Airy, Louisiana for many years to come. We are committed to the community, and we have made it a priority to continue working to hire local employees and contractors to expand upon our strong relationship with the Port of South Louisiana, St. John the Baptist Parish, and the State of Louisiana.”
“Mercuria is pleased to have worked with two of its key financing partners, ING and SMBC, on this important project in the United States. We have a close pulse on the market, and we firmly believe that this terminal will be a critical point in the logistics chain for our customers,” said Brian Falik, Mercuria’s Chief Investment Officer – Americas. “Since the announcement of our equity investment in December 2016, we have been excited to watch firsthand as market demand for Pin Oak’s first class service offerings continues to grow.”
Pin Oak is projected to be operational by summer 2017.
About Pin Oak: Pin Oak is a midstream company and is constructing a liquid and chemicals storage terminal, Pin Oak Terminals, on 431 acres along the Mississippi River in Mt. Airy, Louisiana. Pin Oak Terminals provides its customers with complete optionality via ship, pipeline, truck, and rail access. It will serve North America’s growing crude, refined product, and chemical industries and is strategically located next to major supply networks, demand centers, and export markets. Pin Oak is a 100% owned subsidiary of Pin Oak Holdings, LLC and Pin Oak Holdings, LLC will look to expand its footprint through the development and acquisition of additional terminals throughout North America.
About Dauphine: Dauphine is a portfolio company of Pelican Advisors, LLC and is focused on the development, acquisition, and operations of midstream assets throughout the world.
About Mercuria: As a leading energy and commodities group, Mercuria is primarily focused on energy, and is present all along the commodity value chain with activities forming a balanced combination of commodity flows and strategic assets. More than 1,000 people are operating from offices worldwide to sustain the Group’s extensive business reach with their market knowledge, diversity, and experience. In 2014, Mercuria completed the acquisition of the physical commodities trading unit of JPMorgan Chase & Co. China National Chemical Corporation (ChemChina), one of China’s largest chemical companies, completed a strategic investment in Mercuria in 2015.
Pin Oak Contact: Tricia LeBoeuf (985) 210-1263