NOVA Chemicals Announces the Closing of its Acquisition of Williams’ Ownership Interest in Geismar, Louisiana Olefins Plant
Calgary, Alberta (July 6, 2017) – NOVA Chemicals Corporation (“NOVA Chemicals”) today announced that it has completed the previously announced acquisition of Williams Partners L.P.’s (“Williams”) indirect 88.46% ownership interest in the Geismar, Louisiana olefins plant. As part of the deal, NOVA Chemicals now owns approximately 525 acres of undeveloped land adjacent to the plant and Williams’ interest in the Ethylene Trading Hub in Mt. Belvieu, Texas.
“This is a game changer for our company, as it marks our entry into the U.S. Gulf Coast, which allows us to better serve our customers in the Americas,” said Todd Karran, president and CEO, NOVA Chemicals. “We are particularly pleased to welcome our talented new employees to NOVA Chemicals and look forward to meeting and working alongside our new customers, suppliers and the communities in Louisiana and Texas.”
The plant produces approximately 1.95 billion pounds of ethylene annually and is located in the U.S. Gulf Coast region, the largest refining and petrochemical production hub in North America. With riverfront access, the adjacent land represents a significant opportunity for future growth.
HSBC Securities (USA) Inc. acted as exclusive financial advisor to NOVA Chemicals on the acquisition transaction. Orrick, Herrington & Sutcliffe LLP and Liskow& Lewis acted as legal counsel. Barclays and HSBC Securities (USA) Inc. acted as lead arrangers on the permanent financing of the acquisition.
About NOVA Chemicals Growth Strategy
NOVA Chemicals is committed to being the leader in innovation that enables our customers to deliver plastic products that make everyday life healthier, easier and safer. Our strategy leverages our ability to deliver game changing technology and create an exceptional customer experience to help meet the growing consumer demand for polyethylene in the Americas. We believe that passion, innovation, collaboration and behaving in a responsible way fuels our desire to help shape a world where products vital to our health and happiness are even better tomorrow than they are today. Learn more about our growth strategy.
About NOVA Chemicals
NOVA Chemicals develops and manufactures chemicals and plastic resins that make everyday life healthier, easier and safer. Our employees work to ensure health, safety, security and environmental stewardship through our commitment to sustainability and Responsible Care®. NOVA Chemicals, headquartered in Calgary, Alberta, Canada, is wholly-owned ultimately by Mubadala Investment Company of the Emirate of Abu Dhabi, United Arab Emirates.
About Williams & Williams Partners
Williams (NYSE: WMB) is a premier provider of large-scale infrastructure connecting U.S. natural gas and natural gas products to growing demand for cleaner fuel and feedstocks. Headquartered in Tulsa, Okla., Williams owns approximately 74 percent of Williams Partners L.P. (NYSE: WPZ). Williams Partners is an industry-leading, large-cap master limited partnership with operations across the natural gas value chain including gathering, processing and interstate transportation of natural gas and natural gas liquids. With major positions in top U.S. supply basins, Williams Partners owns and operates more than 33,000 miles of pipelines system wide – including the nation’s largest volume and fastest growing pipeline – providing natural gas for clean-power generation, heating and industrial use. Williams Partners’ operations touch approximately 30 percent of U.S. natural gas.
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For further information please contact:
Jennifer Nanz, Director, Corporate Communications
Patty Masry, Leader, External Financial Reporting
The NOVA Chemicals logo is a registered trademark of NOVA Brands Ltd.; authorized use. Responsible Care is a registered trademark of the Chemistry Industry Association of Canada.