Contacts:
Phillip D. Kramer
Executive Vice President and CFO
713-646-4560 – 800-564-3036
Brad A. Thielemann
Manager, Special Projects
713-646-4222 – 800-564-3036
FOR IMMEDIATE RELEASE
Plains All American Pipeline Announces
Closing of Equity Issuances
(Houston – October 6, 2005) Plains All American Pipeline, L.P. (NYSE: PAA) announced today that it has completed the sale of 5,175,000 million common units (including the over-allotment option) at a public offering price of $42.20 per unit. Net proceeds from the offering, including the general partner's proportionate capital contribution and expenses associated with the offering, were approximately $213.8 million.
Concurrent with the closing of the public offering, the Partnership completed the sale of 679,000 common units to investment funds affiliated with Kayne Anderson Capital Advisors, L.P. Net proceeds from this issuance, including the general partner's proportionate capital contribution and expenses associated with the issuance, were approximately $28.0 million.
The total net proceeds of approximately $241.8 million from these issuances were used by the Partnership to repay indebtedness outstanding under its senior unsecured revolving credit facility and for general partnership purposes. A portion of the debt that was repaid was incurred as a result of the recent acquisition by PAA/Vulcan Gas Storage, LLC of Energy Center Investments, which develops and operates underground natural gas storage facilities.
Upon the completion of these issuances, the Partnership had 73,768,576 common units outstanding.
A copy of the final prospectus supplement and related base prospectus relating to this offering may be obtained from Wachovia Capital Markets, LLC, 7 St. Paul Street, First Floor, Baltimore, MD 21202, Attn: Equity Syndicate, Phone: 443-263-6400, or from UBS Securities LLC, 299 Park Avenue, Prospectus Department, New York, NY 10171, Telephone 212-821-3000, or from any of the other underwriters.
This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
Plains All American Pipeline, L.P. is engaged in interstate and intrastate crude oil transportation, and crude oil gathering, marketing, terminalling and storage, as well as the marketing and storage of liquefied petroleum gas and other petroleum products, in the United States and Canada. Through its 50% ownership in PAA/Vulcan Gas Storage LLC, a joint venture with a subsidiary of Vulcan Capital, the Partnership is engaged in the development and operation of natural gas storage facilities in Michigan and Louisiana. The Partnership's common units are traded on the New York Stock Exchange under the symbol "PAA." The Partnership is headquartered in Houston, Texas.
END |
