SunCoke Energy Acquire Kanawha River Terminals
SunCoke Energy Partners' (SXCP) wholly-owned subsidiary has executed a definitive agreement to acquire 100 percent of the ownership interest in Kanawha River Terminals LLC (“KRT”) for $86 million.
The Ceredo Terminal located on the Ohio River in West Virginia is strategically located to serve both inbound and outbound rail logistics provided by CSX (CSX) and Norfolk Southern (NSC) and the capability to offload and load barges. As a result, the Ceredo terminal is able to serve both domestic and international export markets.
KRT’s other coal handling facilities are located on the Big Sandy and Kanawha Rivers, as well as on Kentucky Highway 1185 near Louisa, Kentucky. In addition, KRT owns an idled liquids terminal on the Ohio River that has more than four million gallons of liquid storage capacity. With its strategic river locations and convenient access to highways and railroads, KRT can deliver products to all U.S. ports on the Gulf Coast, East Coast and Great Lakes.
“KRT is an excellent strategic fit with SXCP and advances our position in coal logistics,” said Fritz Henderson, Chairman and Chief Executive Officer of SXCP. “With this acquisition, we further integrate our cokemaking business with coal handling operations that currently support our Middletown and Granite City cokemaking facilities. We also will broaden our customer base to serve companies in the coal, steel and public utility industries. We anticipate KRT’s operations will be immediately accretive and contribute to future earnings and distributable cash flow growth.”
SunCoke Energy Partners, L.P. (NYSE: SXCP) is a publicly-traded master limited partnership, which manufactures coke used in the blast furnace production of steel.