Plains All American Pipeline,
L.P. announced that its subsidiary, Plains Marketing, L.P., has acquired a 50% membership interest in
Settoon Towing LLC. The effective date of the transaction was November 1, 2006 and
the cash purchase price was approximately $33 million.
Armstrong noted that PAA has had a long-standing business
relationship with Settoon and PAA is currently Settoon's largest customer
with 22 tugs and 22 tank barges under charter.
Settoon Towing LLC owns and operates a fleet of 57 transport and
storage barges (including three on lease or charter) as well as 30
transport tugs (including three on lease or charter). Settoon's core
business is the gathering and transportation of crude oil and produced
water from inland production facilities across the Gulf Coast. It conducts
its operations out of two facilities in south Louisiana, which are
strategically located on the Gulf Intercoastal Waterway and provide access
to numerous inland waterways.