Genesis Energy to sell Powder River Basin Midstream Assets for $200M
Genesis Energy, L.P. Enters Into Agreement to Sell Powder River Basin Midstream Assets and Amends Genesis Energy has signed a definitive agreement to sell its Powder River Basin Midstream Assets, and an affiliate of Silver Creek Midstream has exercised its option to acquire it for approximately $300M in net cash proceeds. Proceeds from the sale will be used by Genesis to reduce the balance outstanding under its revolving credit facility. In conjunction with the transaction, Genesis executed an amendment to its existing revolving credit facility, which among other things, sets the bank leverage ratio to 5.50x throughout the remaining term of the facility, currently May 8th 2022. The sale is subject to customary closing conditions, including obtaining regulatory approvals. The transaction is expected to close in Q3.