LISLE, Ill.--(EON: Enhanced Online News)--On October 1, 2013, SunCoke Energy Partners, L.P. (NYSE: SXCP) completed the acquisition of 100 percent of the ownership interest in Kanawha River Terminals LLC (“KRT”) for $86 million. SXCP financed this acquisition with a combination of available cash and its existing revolving credit facility.
KRT is a leading metallurgical and thermal coal blending/handling terminal service provider with the collective capacity to blend and Transload more than 30 million tons of coal annually. Due to its strategic river locations and convenient access to highways and railroads, KRT can deliver products to U.S. ports in the Gulf Coast, East Coast and Great Lakes.
KRTs operations are expected to be immediately accretive to SXCP’s cash flows and earnings, generating a projected $12 million in EBITDA on an annualized basis and contributing an estimated $6 million, or $0.18 per unit, to distributable cash flow annually.
SXCP purchased KRT from Traxys North America LLC, an international financing, marketing, distribution and trading company in metals, minerals and mining industries and intends to maintain KRT’s current operations and retain existing staff. This is SXCP’s second acquisition in 2013, the first of which was Lakeshore Coal Handling Corporation, which closed on August 30, 2013.
ABOUT SUNCOKE ENERGY PARTNERS, L.P.
SunCoke Energy Partners, L.P. (NYSE: SXCP) is a publicly-traded master limited partnership that manufactures coke used in the blast furnace production of steel and provides coal handling services to the coke, steel and power industries. Our advanced, heat recovery coke making process produces consistently high-quality coke, captures waste heat to generate steam or electricity and reduces environmental impacts. Our coal handling terminals have the collective capacity to blend and transload more than 30 million tons of coal annually and are strategically located to enable material delivery to U.S. ports in the Gulf Coast, East Coast and Great Lakes. Our General Partner is a wholly owned subsidiary of SunCoke Energy, Inc. (NYSE: SXC), the largest independent producer of coke in the Americas, with 50 years of coke making experience and an international reputation for leadership, innovation and environmental stewardship in our industry.
Traxys is a leading intermediary between base metal, noble alloy and industrial mineral, energy and carbon product producers and industrial end-users. The Company provides a fullrange of commercial services such as marketing, sales, distribution, hedging, supply chain financing, raw materials sourcing, credit risk coverage and logistics. Traxys has over $6 billion in annual sales and more than 20 offices worldwide. For more information please visit www.traxys.com.
FORWARD LOOKING STATEMENTS
Some of the statements included in this press release constitute “forward looking statements.” Forward-looking statements include all statements that are not historical facts and may be identified by the use of such words as “believe,” “expect,” “plan,” “project,” “intend,” “anticipate,” “estimate,” “predict,” “potential,” “continue,” “may,” “will,” “should” or the negative of these terms or similar expressions. Forward-looking statements are inherently uncertain and involve significant known and unknown risks and uncertainties (many of which are beyond the control of the Company) that could cause actual results to differ materially.
Such risks and uncertainties include, but are not limited to domestic and international economic, political, business, operational, competitive, regulatory, and/or market factors affecting the Company, as well as uncertainties related to: pending or future litigation, legislation, or regulatory actions; liability for remedial actions or assessments under existing or future environmental regulations; gains and losses related to acquisition, disposition or impairment of assets; recapitalizations; access to, and costs of, capital; the effects of changes in accounting rules applicable to the Company; and changes in tax, environmental and other laws and regulations applicable to the Company’s businesses.
Forward-looking statements are not guarantees of future performance, but are based upon the current knowledge, beliefs and expectations of Company management, and upon assumptions by the Company concerning future conditions, any or all of which ultimately may prove to be inaccurate. The reader should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company does not intend, and expressly disclaims any obligation, to update or alter its forward-looking statements (or associated cautionary language), whether as a result of new information, future events or otherwise after the date of this press release except as required by applicable law.
The Company has included in its filings with the Securities and Exchange Commission cautionary language identifying important factors (but not necessarily all the important factors) that could cause actual results to differ materially from those expressed in any forward-looking statement made by the Company. For information concerning these factors, see the Company’s Securities and Exchange Commission filings such as its annual and quarterly reports and current reports on Form 8-K, copies of which are available free of charge on the Company’s website at www.sxcpartners.com. All forward-looking statements included in this press release are expressly qualified in their entirety by such cautionary statements. Unpredictable or unknown factors not discussed in this release also could have material adverse effects on forward-looking statements.