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CALGARY,
AB, Aug. 1, 2023 /PRNewswire/ - Gibson Energy
Inc. ("Gibson" or the "Company") (TSX: GEI) is pleased to announce
the closing of the acquisition of 100% of the membership interests
of South Texas Gateway Terminal LLC (the "Transaction"). Through
this Transaction, Gibson acquired the South Texas Gateway Terminal,
a world class liquids terminal and export facility located in
Ingleside, Texas, with very large
crude carrier capabilities and direct pipeline connections to the
prolific Permian and Eagle Ford basins.
"Today is an exciting day for Gibson as we close the highly
strategic acquisition of the South Texas Gateway Terminal, which
reinforces our position as a leading liquids-focused infrastructure
business," said Steve Spaulding,
President and Chief Executive Officer. "Our focus will now turn to
safely integrating the asset into our portfolio, welcoming new team
members and supporting the needs of existing and new customers
across North America, while
pursuing new growth opportunities."
The US$1.1 billion purchase price
for the Transaction was funded, in part, from the net proceeds of
the Company's $403 million bought
deal offering of subscription receipts (the "Subscription
Receipts"), which closed on June 22,
2023. With the closing of the Transaction, each outstanding
Subscription Receipt will be automatically exchanged, without
payment of additional consideration and without further action, for
one common share of Gibson (the "Common Shares"). In addition,
holders of Subscription Receipts will be entitled to receive a
dividend equivalent cash payment of $0.39 per Subscription Receipt (the "Dividend
Equivalent Payment"). The Dividend Equivalent Payment is equal to
the cash dividends per Common Share declared by the board of
directors of Gibson to holders of record on June 30, 2023, net of any applicable withholding
taxes. Trading in the Subscription Receipts is expected to be
halted and the Subscription Receipts will be delisted from the TSX
at the close of trading today. The Common Shares issued upon the
exchange of the Subscription Receipts are expected to commence
trading on the TSX tomorrow.
Concurrent with the closing of the Transaction, Gibson also
closed an amendment to increase the size of its
sustainability-linked revolving credit from $750 million to $1
billion.
About Gibson
Gibson is a leading liquids infrastructure company with its
principal businesses consisting of the storage, optimization,
processing, and gathering of liquids and refined products.
Headquartered in Calgary, Alberta,
the Company's operations are located across North America, with core terminal assets in
Hardisty and Edmonton, Alberta, Ingleside, Texas, and including a facility in
Moose Jaw, Saskatchewan.
Gibson shares trade under the symbol GEI and are listed on the
Toronto Stock Exchange. For more information, visit
www.gibsonenergy.com.
For further information, please contact:
Beth Pollock
Vice President, Capital Markets & Risk
Phone: (403) 992-6478
Beth.Pollock@gibsonenergy.com
Media Relations
Phone: (403) 476-6374
Communications@gibsonenergy.com
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SOURCE Gibson Energy Inc.