SunCoke Energy Partners Completes Lakeshore Coal Handling Acquisition
09/03/2013 - SunCoke Energy Partners, L.P. (SXCP) completed its acquisition of Lakeshore Coal Handling Corp. on 30 August 2013. SXCP purchased Lakeshore from privately held Beemsterboer Corporation for an all cash price of US$28.6 million.
Located in East Chicago, Ind., Lakeshore has and will continue to provide coal handling and blending services to SunCoke Energy Inc.’s (SXC) Indiana Harbor cokemaking operations. SXCP intends to maintain Lakeshore’s current operations and retain existing staff.
The Lakeshore acquisition is expected to be immediately accretive to SXCP’s cash flows and earnings, generating about US$5 million in EBITDA on an annualized basis. For SXCP unit holders, the acquisition is expected to contribute US$4 million in distributable cash flow or US$0.12 per unit on an annual basis.
DTE Energy Company, which holds a 15% interest in SunCoke's Indiana Harbor cokemaking operations, assigned its share of the Lakeshore buyout rights to SXCP for cash consideration of US$1.8 million.
SunCoke Energy Partners, L.P. is a publicly traded master limited partnership which manufactures coke used in the blast furnace production of steel. Our advanced, heat recovery cokemaking process produces consistently high-quality coke, captures waste heat to generate steam or electricity, and reduces environmental impacts. Our General Partner is a wholly owned subsidiary of SunCoke Energy, Inc. (SXC), the largest independent producer of metallurgical coke in the Americas, with 50 years of cokemaking experience and an international reputation for leadership, innovation and environmental stewardship in our industry.
