CASPER, Wyo. - Granite Peak Group sold its Casper Crude to Rail to USD Partners LP of Houston just a year after completing the facility.
USD Partners LP bought the Casper Crude to Rail for $225 million in 2015. The terminal includes a loading rail terminal capable of loading 100,000 barrels per day, six storage tanks and a 6-mile pipeline, which connects to Houston-based Spectra Energy Partners LP’s crude oil pipeline.
“The terminal’s high-quality customer base and strategic location ensure competitive, sustainable market access, as well as provide an additional platform for heavy crude oil solutions,” USD Partners CEO Dan Borgen said in a statement.
Granite Peak completed the crude-to-rail facility, located near the Casper/Natrona County International Airport, for $60 million in 2014.
At the time, state and local officials welcomed the facility’s expected infusion of revenue and employment. Its 2014 open house drew Gov. Matt Mead, U.S. Rep. Cynthia Lummis and former Gov. Michael Sullivan.
The facility primarily serves the Express Pipeline, which carries Canadian crude from Alberta to Casper. Casper Crude to Rail will take the excess from Express and load it onto trains traveling to various points throughout the U.S.
USD Partners approached Granite Peak with interest in the Casper rail facility.
“We invest for the long term, but we are open to opportunities when they come about,” said Josh Jamison, Granite Peak managing partner. “We did this transaction because it was a good deal for everyone involved.”
“Granite Peak will continue to operate the Cheyenne Logistics Hub, transloading terminals throughout the Rockies, while pursuing a host of commercial developments in Arizona, North Dakota and Wyoming,” Jamison said.
The Granite Peak Group has over $500 million in holdings and capable leaders dedicated to the success of individual companies within our portfolio. Today, our portfolio includes world-class heavy industrial companies with common management whose expertise spans oil and gas, manufacturing, rail supply chains, logistics, and plastics. Learn more at thegranitepeakgroup.com.