Houston, Feb. 01, 2018 (GLOBE NEWSWIRE) -- Shell Midstream Partners, L.P. (NYSE: SHLX) today announced the commencement of an underwritten public offering of 25,000,000 common units representing limited partner interests. The underwriter intends to offer the common units to be sold in the offering from time to time for sale in one or more transactions on the NYSE, in the over-the-counter market, through negotiated transactions or otherwise at market prices prevailing at the time of sale, at prices related to prevailing market prices or at negotiated prices, subject to receipt and acceptance by it and subject to its right to reject any order in whole or in part. The partnership intends to grant the underwriter a 30-day option to purchase up to an additional 3,750,000 common units.
In addition, Shell Midstream Partners will concurrently sell $300.0 million of its common units to Shell Midstream LP Holdings LLC, a wholly owned subsidiary of Royal Dutch Shell, at the same price to the public as the common units sold in the public offering.
Shell Midstream Partners expects to use the net proceeds from the public offering and the private placement to repay amounts outstanding under the partnership’s credit facilities and for general partnership purposes.
The common units being offered and sold in the underwritten public offering are being offered and will be sold pursuant to an effective shelf registration statement that was previously filed with the Securities and Exchange Commission (“SEC”). This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such states. The offering is being made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act.
About Shell Midstream Partners, L.P.
Shell Midstream Partners, headquartered in Houston, Texas, is a fee-based, growth-oriented midstream master limited partnership formed by Royal Dutch Shell to own, operate, develop and acquire pipelines and other midstream assets. Shell Midstream Partners' assets consist of interests in entities that own crude oil and refined products pipelines serving as key infrastructure to transport onshore and offshore crude oil production to Gulf Coast and Midwest refining markets and to deliver refined products from those markets to major demand centers, as well as interests in entities that own natural gas and refinery gas pipelines which transport offshore natural gas to market hubs and deliver refinery gas from refineries and plants to chemical sites along the Gulf Coast.
