Boardwalk acquires Chevron US ethylene pipeline

Boardwalk Pipeline Partners announced that it has completed the previously-announced acquisition of Chevron Petrochemical Pipeline LLC, which owns the Evangeline ethylene pipeline system, from Chevron Pipe Line.

Evangeline will be operated by Boardwalk Louisiana Midstream (BLM), a subsidiary of Boardwalk that provides transportation and storage services for ethylene and natural gas liquids (NGLs), natural gas storage and brine supply services for producers and consumers of petrochemicals through two hubs in southern Louisiana, the Sulphur Hub in the Lake Charles area and the Choctaw Hub in the Mississippi River Corridor.

“We are pleased to have completed the Evangeline acquisition that provides vertical integration with BLM’s extensive ethylene distribution system,” said Kevin Miller, president of BLM. 

“Adding these upstream assets strengthens BLM’s growth platform and further enhances our ability to provide reliable and flexible ethylene transportation and storage services to petrochemical customers in the growing Gulf Coast market," he added.

The Evangeline system is a 176-mi interstate pipeline capable of transporting approximately 2.6 billion lb/year of ethylene and is supported by long-term, fee-based contracts. Evangeline transports ethylene between Port Neches, Texas, and Baton Rouge, Louisiana, where it interconnects with BLM’s ethylene distribution system that includes BLM’s storage facilities at the Choctaw Hub.

Deutsche Bank acted as exclusive financial advisor to Boardwalk on this transaction.