(Reuters) - NuStar Energy LP has agreed to sell a crude oil storage terminal on the Caribbean island of St Eustatius for $250 million to investment firm Prostar Capital, the companies said on Friday.
The transaction is expected to close by the end of the second quarter of 2019. The terminal has 2.3 million cubic meters of storage capacity, 60 commercial storage tanks and associated pipelines.
San Antonio-based NuStar will redeploy sales proceeds to its core businesses in North America, NuStar CEO Brad Barron said in the statement.
Private investment firm Prostar, which invests in midstream energy infrastructure, believes the terminal has strategic advantages including “a location at the crossroads of global and regional oil trade (and) long-term customer relationships with major global oil traders,” said Steve Bickerton, senior managing director of Prostar, in a statement.
Reporting by Collin Eaton; Editing by Chizu Nomiyama