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July 21, 2000 CONTACT: Media Relations - Kathleen A. Sauve
Phone: 713/759-3635
Investor Relations - Brenda J. Peters
Phone: 713/759-3954
TEPPCO CLOSES $318.5 MILLION ACQUISITION OF ARCO PIPE LINE
HOUSTON - Texas Eastern Products Pipeline Company, LLC, the general partner of
TEPPCO Partners, L.P. (NYSE:TPP) today closed the $318.5 million acquisition of
the assets of ARCO Pipe Line Company (APL). The acquisition is consistent with
TEPPCO's strategy to bring value to its unitholders through aggressive growth.
Financing for the transaction was arranged by Sun Trust Bank.
"The addition of APL allows us to bring a wider range of services to our crude
oil customers and additional value to our unitholders" said William L. Thacker,
chairman, president and chief executive officer of the general partner of
TEPPCO.
Since signing the original agreement in March, TEPPCO has been planning the
integration of the APL assets into its crude oil business. As part of the
agreement, TEPPCO also will operate refined product and petrochemical pipeline
systems that will eventually transition to BP Amoco.
The assets acquired by TEPPCO include APL's interest in the Seaway crude
transportation pipeline from the Texas Gulf Coast to Cushing, Okla.; crude oil
terminal facilities in Midland, Texas, and Cushing, including the line transfer
and pumpover business at each location; an undivided ownership interest in both
the Rancho Pipeline and the Basin Pipeline; and APL's West Texas Trunk System.
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Except for the historical information contained herein, the matters discussed in
this news release are forward-looking statements that involve certain risks and
uncertainties. These risks and uncertainties include, among other things, market
conditions, governmental regulations and other factors discussed in TEPPCO's
filings with the Securities and Exchange Commission.
TEPPCO Partners, L.P. is a publicly traded master limited partnership, which
conducts business through two operating companies. TE Products Pipeline Company,
Limited Partnership is one of the largest common carrier pipelines of refined
petroleum products and liquefied petroleum gases in the United States. TEPPCO
Crude Oil, LLC is a crude oil gathering, transportation, storage and marketing
company operating primarily in Texas and Oklahoma. Texas Eastern Products
Pipeline Company, LLC, which is an indirect wholly owned subsidiary of Duke
Energy Field Services, LLC, is the general partner of TEPPCO Partners, L.P. For
more information, access TEPPCO's website at www.teppco.com.
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