Gibson Energy declares sale of U.S. environmental service businesses
Category: #world  By Dhananjay Punekar  Date: 2018-03-21
  • share
  • Twitter
  • Google Plus
  • Facebook
  • LinkedIn

Gibson Energy declares sale of U.S. environmental service businesses

Gibson Energy Inc., a Canada based midstream service firm in the oil & gas sector, has sold its environmental service business in the U.S. for nearly USD 125 million. According to reliable sources, this strategic move is aimed towards further expanding Gibson’s oil & gas storage system in Canada.

Last year in August, the firm had apparently made an offer to sell its U.S. businesses, which was the part of its business strategy to use the funds for building new storage & pipeline units in Alberta and Saskatchewan costing nearly USD 205 million yearly.

The CEO of Gibson, Steve Spaulding, has stated that though its U.S. environmental service business was performing above par, it was unable to contribute to the core asset growth of the firm. He further added that the firm will use the revenue from the business disinvestments for funding its tank & pipeline infrastructure ventures in Canada. Apart from the sale of its environmental business unit, the firm has also decided to sell nearly four more business units in the next one and half years. At the investor day presentation in January this year, the key officials of Gibson stated that the company will also be selling its trucking operations across the U.S. and Canada.

According to reliable sources, the firm is forecast to collect nearly USD 375 million from the divestments. For the record, in February 2017, Gibson had sold its industrial propane business to Superior Plus LP for USD 412 million. The Canada based firm is also planning to invest in the oil storage & refining business in Canada, which includes a large storage unit in Alta linking the oil sands to the U.S. bound pipelines & railways. The firm has even stated that it will use the cash generated from the asset sale for paying its debt amount.



About Author

Dhananjay Punekar

Email: dhananjay.p@news.marketsizeforecasters.com   

Dhananjay Punekar

Dhananjay Punekar presently develops content for a slew of portals, including Market Size Forecasters and Algosonline. A post graduate in mathematics and business administration, he worked in Infosys BPO Limited prior to switching his professional genre. As a content wr...

Read More

More News By Dhananjay Punekar

AstraZeneca gets import & marketing approval for Durvalumab in India
AstraZeneca gets import & marketing approval for Durvalumab in India
By Dhananjay Punekar

AstraZeneca Pharma India, a division of pharma & biopharma giant AstraZeneca plc, has received a green signal from the Indian drug regulating agency DCGI (Drug Controller General of India) for its drug Durvalumab c...

BP exits deal with Woolworths, retail firm looks out for alternatives
BP exits deal with Woolworths, retail firm looks out for alternatives
By Dhananjay Punekar

BP Plc, a UK based oil & gas firm, has decided to terminate its USD 1.8 billion acquisition deal with Australian retail giant Woolworths. For the record, the British oil & gas company had signed a pact to purch...

Sarepta obtains positive results on DMD therapy, shares skyrocket 50%
Sarepta obtains positive results on DMD therapy, shares skyrocket 50%
By Dhananjay Punekar

The shares of Sarepta Therapeutics Inc., a medical research & drug development firm, climbed up by 50% after the firm released initial results derived from clinical treatment on patients suffering from Duchenne mus...