KILGORE, Texas, May 5, 2014 (GLOBE NEWSWIRE) -- Martin Midstream Partners L.P. (Nasdaq:MMLP) ("MMLP" or the "Partnership") announced today that it has entered into definitive documentation with a subsidiary of Atlas Pipeline Partners, L.P. (NYSE:APL) to acquire all of the outstanding membership interests in Atlas Pipeline NGL Holdings, LLC and Atlas Pipeline NGL Holdings II, LLC (collectively, "Holdings") for $135 million, subject to customary post-closing adjustments (the "Transaction"). Holdings owns a 19.8% limited partnership interest and a 0.2% general partnership interest in West Texas LPG Pipeline L.P. ("WTLPG"). WTLPG is operated by Chevron Pipe Line Company, an affiliate of Chevron Corporation, which owns the remaining 80% interest. WTLPG owns a common carrier natural gas liquids ("NGLs") transportation pipeline system originating in the Permian Basin continuing across North Texas and through East Texas with delivery to Mont Belvieu, Texas for fractionation. In addition, the WTLPG system offers shippers access to several other connections including the Cajun-Sibon interstate pipeline in Southeast Texas. The WTLPG system features numerous receipt points including natural gas processing plants, truck loading facilities and NGL pipelines across multiple production basins. WTLPG owns approximately 2,300 miles of pipeline with long-haul capacity of approximately 240,000 barrels per day and volumes that have been at or near capacity since 2011. This Transaction marks the first significant investment by the Partnership tied to the growing Permian Basin. Assuming no new growth capital investments, the Partnership expects to realize distributable cash flow from the acquisition of approximately $5 million for the remainder of 2014 and approximately $9 million for the full year 2015. To provide near-term economic support for the Transaction, the owners of the Partnership's general partner, Martin Resource Management Corporation ("MRMC") and Alinda Capital Partners ("Alinda") have agreed to relinquish the next $3 million in incentive distribution rights that they otherwise would be entitled to receive. This general partner support makes the acquisition immediately accretive to distributable cash flow per limited partner unit.