ExxonMobil sells East Providence fuel terminal - Providence Business First

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Global Partners LP has picked up another East Coast tank farm.

ExxonMobil has sold its liquid fuel terminal at 1001 Wampanoag Trail in East Providence .

Global Partners LP (NYSE: GLP) announced Friday that it closed on the purchase of the terminal from ExxonMobil Oil Corp. (NYSE:XOM). Global said it will also acquire nearby vacant parcels to provide “long-term opportunities for alternative uses as market dynamics evolve." The terms were not immediately disclosed.

The facility features 10 tanks with an approximate 960,000 barrel capacity. The tanks store products such as gasoline, additives, distillates, and ethanol. The terminal’s dock on the Providence River can accommodate large vessels. Its truck rack supports distribution across the Southern New England region.

"The acquisition of the East Providence terminal aligns perfectly with our strategic goals," said GP president and CEO Eric Slifka in a statement. He said the deal “further deliver(s) our commitment to strategic growth by diversifying our portfolio and capitalizing on assets that leverage our integrated network.”

Business First on Monday reached out to ExxonMobil seeking comment. Global Partners, through a spokesperson, declined to provide further information about the transaction. Local land records show that the deal closed November 1.

The Waltham, Massachusetts-based Global Partners is on a growth trajectory. In 2023 it purchased 25 coastal fuel terminals from Motiva Enterprises for $313.2 million. That move nearly doubled its storage capacity and expanded its presence to seven new states. Also, in a joint venture with ExxonMobil, it acquired 64 Houston-area gas-station convenience stores in Texas.

"2023 was a transformational year for Global," Slifka said of the deals.

Global Partners is the integrated owner, supplier, and operator of liquid energy terminals on the East and Gulf coasts with access to to rail, pipeline, and marine transport. It also has rail-linked storage facilities in North Dakota and New York state. The company buys wholesale from global and domestic sources and distributes gasoline, distillates, residual oil, and other fuels to wholesalers, retailers, and commercial customers. It owns around 1,700 fueling stations and hundreds of convenience stores.

Earlier this year, Global Partners and The Davis Companies, the Boston-based commercial real estate firm, closed on the purchase of a former tank farm in Everett, Mass. ExxonMobil sold the 100-acre property to settle an environmental lawsuit. The real estate JV, where GP owns a minority stake, plans to remediate the contaminated site, which includes a deep-water marine terminal, and create a mixed-use development.

In January, Global Partners agreed to buy four fuel terminals in Connecticut, New Jersey, and Chelsea, Mass. from Gulf Oil for a $212.3 million. A terminal in Maine was not included on that list in response to antitrust concerns expressed by the Federal Trade Commission and the Maine attorney general. The buy is in addition to the 25 terminals GP picked up from Motiva.

Global Partners boosted its sales to $4.4 billion in Q2 2024, up 15% from the prior year, and its net income grew 11% to $46.1 million. It has access to revolving credit facilities totaling $1.75 billion, according to an SEC filing. The company's shares were trading at around $47 Monday morning, up 11% on the year, and it showed a market cap of around $1.6 billion.

The company went public in 2005 as a master limited partnership. It plans to announce its third-quarter results on Friday.