MIC announced that its Hawaii Gas business has signed a purchase and sale agreement and received regulatory approval for the acquisition of the land beneath its synthetic natural gas plant at Campbell Industrial Park on Oahu from BHP. The Decision and Order from the Hawaii Public Utilities Commission allowing the transaction to proceed was received on December 30, 2015. As with BEC, by owning the land beneath its plant, Hawaii Gas has achieved both additional security with regard to existing operations and avoided potential future lease rate increases. The Company has signed additional agreements that will see it continue to invest in clean energy projects in Hawaii including in non-utility customer services and initiatives related to renewable natural gas.Approximately $50 million of the announced capital deployment involves the expansion of MIC's Atlantic Aviation business, the owner of one of the United State's largest networks of fixed base operations (FBO) serving the general aviation industry. Investment opportunities involving Atlantic Aviation include:
- Acquisition of an FBO at McClellan-Palomar airport in Carlsbad, CA in a transaction closed on December 18, 2015;
- Closing on December 8, 2015 of a transaction with Cutter Aviation in which Atlantic Aviation acquired the Cutter owned FBO at El Paso International Airport in El Paso, TX and Cutter acquired the Atlantic Aviation owned FBO at Deer Valley Airport in Phoenix, AZ; and,
- Entry into an agreement to acquire a hangar at Boeing Field in Seattle, WA, completion of the acquisition of an additional hangar at its FBO in Hayden, CO and breaking ground on construction for a new hangar at its facility at Rifle, CO.
MIC expects that many of the growth projects completed in 2015, as well as a portion of those to be completed in 2016 through 2019, will constitute property eligible for bonus depreciation under the terms of the recently enacted Protecting Americans from Tax Hikes (Path) Act of 2015. The Path Act provides for first year bonus depreciation of 50% of the value of qualifying assets placed in service through 2017, 40% in 2018 and 30% in 2019."We are pleased to have ended a strong 2015 with positive fourth quarter operating results, a full slate of growth capital projects commenced or committed to across our four businesses and even more opportunities under consideration," Hooke added. About Macquarie Infrastructure Corporation Macquarie Infrastructure Corporation owns, operates and invests in a diversified group of infrastructure businesses providing basic services to customers in the United States. Its businesses consist of a bulk liquid terminals business, International-Matex Tank Terminals, an airport services business, Atlantic Aviation, a gas processing and distribution business, Hawaii Gas, and several entities comprising a Contracted Power and Energy segment. MIC is managed by a wholly-owned subsidiary of the Macquarie Group. For additional information, please visit the Macquarie Infrastructure Corporation website at www.macquarie.com/mic. MIC-G MIC is not an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of MIC do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of MIC.