Pacific Energy Partners, L.P.
NYSE : PPX

Pacific Energy Partners, L.P.

July 21, 2005 20:48 ET

Pacific Energy Partners, L.P. Declares Cash Distribution for Second Quarter 2005

LONG BEACH, Calif.--(CCNMatthews - Jul 21, 2005) -

Pacific Energy Partners, L.P. (NYSE:PPX) ("Pacific Energy") declared a cash distribution of $0.5125 per unit for the quarter ended June 30, 2005, which represents $2.05 per unit annualized. This distribution is unchanged from the quarter ended March 31, 2005, but is 5.1% greater than the distribution for the quarter ended June 30, 2004. The distribution is payable August 12, 2005 to unitholders of record as of August 1, 2005.

On July 5, 2005, Pacific Energy announced it has signed a definitive agreement to acquire certain terminal and pipeline assets from Valero L.P. for $455 million, with closing expected within 90 days from that date. These assets primarily store and transport refined products. As previously announced, management of the general partner of Pacific Energy intends to recommend to its Board of Directors that upon completion of the acquisition, Pacific Energy should increases its cash distribution by $0.03 per unit per quarter. Pacific Energy has also previously announced that it expects to increase its distribution by an additional $0.0125 per unit per quarter following completion of its Edmonton, Alberta, initiating station, which is currently expected to be completed in the fourth quarter of 2005. Combined, these increases are expected to total $0.0425 per unit per quarter, or $0.17 per unit annually, an 8.3% increase from current levels.

About Pacific Energy:

Pacific Energy Partners, L.P. is a master limited partnership headquartered in Long Beach, California. Pacific Energy is engaged principally in the business of gathering, transporting, storing and distributing crude oil and other related products in California and the Rocky Mountain region, including Alberta, Canada. Pacific Energy generates revenues primarily by transporting crude oil on its pipelines and by leasing capacity in its storage facilities. Pacific Energy also buys, blends and sells crude oil, activities that are complementary to its pipeline transportation business.

This news release may include "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact included or incorporated herein may constitute forward-looking statements. Although Pacific Energy believes that the forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. The forward-looking statements involve risks and uncertainties that may affect Pacific Energy's operations and financial performance. Among the factors that could cause results to differ materially are those risks discussed in Pacific Energy's filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2004.

For additional information about the partnership, please visit the Pacific Energy Partners, L.P. website at www.PacificEnergy.com.

Contact Information

  • Pacific Energy Partners, L.P.
    Aubrye Harris, 562-728-2871
    Investor Relations
    562-728-2881 (FAX)
    email: aharris@PacificEnergy.com