- The Sterling Terminal near Sterling, Colo., that provides approximately 1.3 million barrels of operational storage to the Tallgrass Pony Express crude oil pipeline. This facility's footprint could accommodate an expansion of storage capacity of at least 0.8 million barrels.
- The Buckingham Terminal in northeast Colorado that includes four truck unloading skids capable of receiving up to 16,000 barrels per day and provides shippers an injection point into Tallgrass Pony Express.
- A 20 percent interest in the Deeprock Development Terminal in Cushing, Okla., which provides Tallgrass Pony Express approximately 2.3 million barrels of operational storage capacity.
- Approximately 550 acres in south Cushing, Okla., where civil engineering work is nearing completion and the permitting process is underway for up to 5.5 million barrels of storage for a potential terminal facility located on approximately 80 acres of the parcel. The terminal would connect with other third-party terminals in Cushing, have inbound pipeline connectivity and provide outbound pipeline connectivity to destinations on the Gulf Coast. Tallgrass Terminals has spent in excess of $10 million acquiring and developing the property to this point.
- Approximately 250 acres in Guernsey, Wyo., where permits have been acquired for 2.1 million barrels of storage. Tallgrass Terminals is currently exploring a number of opportunities that could provide customers with receipt, blending, storage and delivery services, in addition to direct access to transportation services on Tallgrass Pony Express.
About Tallgrass EnergyTallgrass Energy is a family of companies that includes publicly traded partnerships Tallgrass Energy Partners, LP (NYSE: TEP) and Tallgrass Energy GP, LP (NYSE: TEGP), and privately held Tallgrass Development, LP. Operating across 10 states, Tallgrass is a growth-oriented midstream energy operator with transportation, storage, terminal and processing assets that serve some of the nation's most prolific crude oil and natural gas basins. To learn more, please visit our website at www.tallgrassenergy.com. Forward-Looking Statements Disclosures in this press release contain "forward-looking statements." All statements, other than statements of historical facts, included in this press release that address activities, events or developments that management expects, believes or anticipates will or may occur in the future are forward-looking statements. Without limiting the generality of the foregoing, forward-looking statements contained in this press release specifically include the transaction multiple, the expected accretion to TEP unitholders, TEP's distribution growth guidance for 2017, and the feasibility, cost, and ability to execute on Tallgrass Terminals' development projects in Cushing, Okla. and in Guernsey, Wyo. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Partnership, which may cause actual results to differ materially from those implied or expressed by the forward-looking statements, and other important factors that could cause actual results to differ materially from those projected, including those set forth in reports filed by TEP with the Securities and Exchange Commission. Any forward-looking statement applies only as of the date on which such statement is made and the Partnership does not intend to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Non-GAAP Financial Measure EBITDA is a non-GAAP supplemental financial measure that management and external users of REX's financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess:
- REX's operating performance as compared to other similarly situated companies in the midstream energy industry, without regard to historical cost basis or financing methods;
- The ability of REX's assets to generate sufficient cash flow to make distributions to its unitholders;
- REX's ability to incur and service debt and fund capital expenditures; and
- The viability of acquisitions and other capital expenditure projects and the returns on investment of various expansion and growth opportunities.
REX generally defines EBITDA as earnings before interest, taxes, depreciation and amortization.